Adopted Budget for FY 2015

Transcription

1 Adopted Budget for FY 2015 Chesterfield VA, mychesterfieldschools.com

2 Acknowledgements The Office of Management and Budget extends our sincere appreciation for the collaboration in producing the School Board s FY2015 Adopted Budget. Staff from the school division and the county government, advisory groups, parents and other citizens cooperated through countless hours and effort to assist us in presenting a comprehensive document that is both informative and transparent. Office of Management and Budget Andy Hawkins Assistant Superintendent Susan Newton Director Debbie Halloway Senior Budget Analyst Rick McDonnell Senior Programmer Analyst Peggy Browning Budget Analyst Amanda McLarin Budget Analyst Kim Williams Budget Analyst Joan Stanford Budget Technician Sharon Jefferson Administrative Assistant Senior Page i

3 Dear School Board members, employees, students, parents and community members: The reputation of the public school system often inspires families to live in Chesterfield County. But don t just take my word for it: SchoolMatch consistently rates as having precisely the balance parents seek. Chesterfield residents say they are happy with their choice as well, with close to 90 percent of residents rating Chesterfield schools as excellent or good in recent community surveys. Is it any wonder that for the sixth time Chesterfield was named one of the 100 Best Communities for Young People by America s Promise Alliance? Investing in public education is a wise decision for communities seeking to remain safe, vibrant and relevant. Tomorrow s engineers, health-care providers, CPAs and other professionals and service providers are sitting in today s classrooms. Guided by the Design for Excellence 2020 innovation plan, is working to achieve its vision of providing an engaging and relevant education that prepares every student to adapt and thrive in a rapidly changing world. The four foundations of a strong public school system are effective, efficient and safe schools and facilities the recruitment and retention of highly qualified teachers and staff the latest, most relevant tools with which to teach a community willing to support and invest in its schools On behalf of, I am pleased to present to the community an operating budget that begins to restore services necessary to preparing our students for success after high school. I am proud of the work our School Board and leadership team have done to focus on student academics and our award-winning staff members. The FY 2015 operating budget of $567.3 million is an increase from the FY 2014 operating budget of $534.5 million. This adopted budget includes funding to Reduce class sizes by strategically integrating 111 new teaching positions Increase employee compensation and provide funding for higher benefits costs Provide middle school students with Chromebooks as part of the first phase of our anytime, anywhere learning initiative Continue renovation and construction work at 12 facilities approved by voters in the 2013 bond referendum Open a second career and technical center site Purchase new school buses Restore academic and athletic stipends previously reduced While this is a significant one-year increase in the funds, we will educate our students with an operating budget that is still less than it was in FY Understanding that we must be efficient and effective stewards of taxpayer dollars, we continue to look for innovative ways to do business so that we can fund classroom needs. Our schools belong to the public, so everyone in Chesterfield County has a role to play in public education. Teamwork is the best approach because working together we can exceed our expectations for school and student success. I ask parents, guardians and volunteers to get involved and support a school system in which all children become successful learners and embrace learning as a joyful, lifelong activity. Together we can help our children realize their hopes and dreams. Sincerely, Marcus J. Newsome, Ed.D. Superintendent Page ii

4 TABLE OF CONTENTS ACKNOWLEDGEMENTS... i SUPERINTENDENT S MESSAGE... ii TABLE OF CONTENTS... iii INTRODUCTORY SECTION... 1 Organizational Component GET TO KNOW CHESTERFIELD COUNTY... 2 GET TO KNOW CHESTERFIELD COUNTY PUBLIC SCHOOLS... 3 MISSION AND VISION... 5 PROFILES OF THE SCHOOL BOARD MEMBERS AND SUPERINTENDENT... 6 SUPERINTENDENT S CABINET... 8 BUDGET CALENDAR... 9 BUDGET PROCESS ALLOCATION OF HUMAN AND FINANCIAL RESOURCES GUIDING PRINCIPLES FOR BUDGET DEVELOPMENT Financial Component FY2015 ADOPTED BUDGET FUND SUMMARIES ADOPTED BUDGET CHANGES FY2014 TO FY KEY FACTORS AFFECTING BUDGET DEVELOPMENT SIGNIFICANT TRENDS AND INITIATIVES Informational Component FIVE YEAR PLAN OPERATING FUND ENROLLMENT HISTORY AND FORECAST RESOURCE ALLOCATIONS DEBT OBLIGATIONS BENCHMARK DATA PER PUPIL EXPENDITURES ESTIMATED REQUIRED LOCAL EFFORT ORGANIZATIONAL SECTION CHESTERFIELD COUNTY PUBLIC SCHOOLS OVERVIEW ORGANIZATION OF THE SCHOOL BOARD BY MAGISTERIAL DISTRICT STAFF ORGANIZATIONAL CHARTS DESIGN FOR EXCELLENCE GUIDING PRINCIPLES FOR BUDGET DEVELOPMENT SCHOOL BOARD FINANCIAL POLICIES COUNTY FINANCIAL POLICIES APPROPRIATION CATEGORIES, OBJECTS OF EXPENSE AND REVENUES BASIS OF ACCOUNTING, FUND STRUCTURE, AND BASIS OF BUDGETING BUDGET CALENDAR BUDGET PROCESS ALLOCATION OF HUMAN AND FINANCIAL RESOURCES BUDGET ADMINISTRATION AND MANAGEMENT PROCESS FINANCIAL SECTION FUND SUMMARY ALL FUNDS OPERATING FUND SUMMARY GRANTS FUND SUMMARY FEDERAL FOOD SERVICE FUND SUMMARY NON-FEDERAL FOOD SERVICE FUND SUMMARY APPROPRIATION CATEGORIES, OBJECTS OF EXPENSE AND REVENUES ADOPTED BUDGET CHANGES FY2014 TO FY KEY FACTORS AFFECTING BUDGET DEVELOPMENT SIGNIFICANT TRENDS AND INITIATIVES FIVE YEAR PLAN OPERATING FUND CAPITAL IMPROVEMENT FUND DEBT OBLIGATIONS PROJECTS FUNDED BY OUTSTANDING BOND ISSUES POST-EMPLOYMENT BENEFIT OBLIGATIONS DISCLOSURES INFORMATIONAL SECTION TAX BASE AND RATE TRENDS ENROLLMENT HISTORY, FORECAST AND METHODOLOGY RESOURCE ALLOCATIONS STUDENT PERFORMANCE CHESTERFIELD COUNTY PUBLIC SCHOOLS SUCCESSES TEACHER SALARY SCALES STAFFING ALLOCATION STANDARDS MATERIALS ALLOCATION STANDARDS GLOSSARY Page iii

5 Introductory Section

6 INTRODUCTORY SECTION EXECUTIVE SUMMARY INTRODUCTORY SECTION EXECUTIVE SUMMARY The introductory section is intended to provide the reader with a comprehensive yet summarized look at Chesterfield County, the school division, its strategic plan, financial structure, and FY2015 annual financial plan, as well as other summary information meeting the requirements of the award programs for both the Association of School Business Officials International and the Government Finance Officers Association. This section is considered to be an executive summary that is divided into these three components, Organizational, Financial, and Informational, and can serve as a stand-alone document for the reader. Page 1

7 INTRODUCTORY SECTION EXECUTIVE SUMMARY Organizational Component GET TO KNOW CHESTERFIELD COUNTY Although English colonists began moving into this area within four years of Jamestown s founding in 1607, Chesterfield was not created as a political unit until This new county was formed from the southern half of Henrico County, one of Virginia s original shires and was named for the Fourth Earl of Chesterfield, Phillip Dormer Stanhope. At that time, Chesterfield was a community of farms and small settlements. The James and Appomattox Rivers provided valuable transportation arteries. The seal of Chesterfield County depicts a coal miner, indicative of Chesterfield as the first place in the nation where coal was mined commercially. According to data from the 2010 U.S. Census, Chesterfield County, with more than 300,000 residents, is the third largest county in Virginia at 446 square miles and its fourth largest jurisdiction. The county's population growth from 2000 to 2010 accounted for almost 6 percent of the population growth in the commonwealth and was exceeded only by Fairfax and Prince William counties. The 2010 Census also shows that the median age of Chesterfield's population was 36.3 years, compared to 35.7 in 2000 and 31.9 in Although this reflects a national trend toward an aging population, there is a much higher percentage of people under 18 in Chesterfield (26.1 percent) compared to all of Virginia (23.3 percent) and a lower percentage of persons over 65 (10.4 percent compared to 12.2 percent). Traditional family makeup in the county is changing as can be seen by the declining household size. In 2010, the average household size in Chesterfield declined to 2.69 persons from 2.73 in As in 2000, the number of households without children was greater than those with children. For 2010, this was 60.8 percent of all households, as compared to 2000, which was 56 percent. Even though both household types increased, those without children increased more rapidly. Information on income reflects Chesterfield County's relative affluence. Chesterfield continues to lead the Richmond-Petersburg Metropolitan Area in median household income, determined to be $69,149 for Chesterfield is within a two-hour drive of Virginia s beaches, the Blue Ridge Parkway and Washington D.C. The county contains no incorporated cities or towns. Chesterfield County, the fourth most populous locality in the state of Virginia, according to the April 1, 2010 census, provides complete local government services. It is divided into five magisterial districts, each represented by one supervisor elected to a four-year term. These officials form the Board of Supervisors, the legislative body of the county. The Board of Supervisors is responsible for establishing local public policy, raising local resources for the support of public programs, and overseeing the conduct of the county s affairs. Chesterfield is a nationally recognized leader in local government and is one of fewer than twenty-five counties in the nation to hold AAA bond ratings from all three of the major bond rating agencies. This status reflects exceptional management of financial operations and conservative fiscal policies. To learn more about Chesterfield County, visit its website at Page 2

8 INTRODUCTORY SECTION EXECUTIVE SUMMARY GET TO KNOW CHESTERFIELD COUNTY PUBLIC SCHOOLS The school division is governed by an elected School Board of five members serving concurrent fouryear terms. The Board establishes policy and direction for the system and hires the Superintendent, who implements policy and organizes and manages the staff to pursue the direction set by the Board. Two assistant superintendents and a chief academic officer assist the Superintendent in carrying out these responsibilities. Fiscally, the School Board approves a budget recommended by the Superintendent, which must be approved and funded by the local Board of Supervisors in its budget process for the entire county. The annual financial plan is the foundation for financial management of the school division. The Superintendent is responsible for administering this plan. The School Board has designated the Superintendent and certain other individuals as agents and deputy agents with the authority to approve expenditure of school division funds. The school division s Office of Management and Budget monitors revenues and expenditures and coordinates development of the annual financial plan. The Assistant Superintendent for Business and Finance is responsible for presenting financial reports to the School Board on a scheduled basis. Financial records of the school division are audited annually by an external independent auditor. In, these goals of the Design for Excellence 2020 strategic plan guide all decisions: Goal 1: All learners will acquire, analyze, synthesize and evaluate information to solve meaningful problems and to achieve success as productive, thriving global citizens. Goal 2: All learners will demonstrate the 21st-century learning and technology skills and knowledge that will prepare them for success in school, postsecondary education, work and life in a global society. Goal 3: Working in partnership with school and family, all learners will understand, model and embrace the important attitudes and attributes necessary to be responsible global citizens. Page 3

9 INTRODUCTORY SECTION EXECUTIVE SUMMARY Here are some important facts about : educated more than 58,000 students in Student growth in the county has slowed over the past decade and projections suggest this student membership trend will continue for the foreseeable future. With 58,717 students enrolled in , Chesterfield is one of the 100 largest school systems in the United States and the fifth largest in Virginia. Chesterfield is a comprehensive K-12 environment. Our children are educated in 11 high schools, 12 middle schools, 38 elementary schools, and two career and technical education centers (2 nd center to open in September 2014). The base teacher staffing standard is 25-to-1 for elementary schools, 27-to-1 for middle schools, and 26-to-1 for high schools. Additional teaching positions are provided for targeted pupil-teacher ratio reductions. Students 60,000 50,000 40,000 30,000 20,000 10,000 0 *Fall 2014 data is projected Fall Student Membership Fall Page 4

10 INTRODUCTORY SECTION EXECUTIVE SUMMARY MISSION AND VISION The original Design for Excellence contained five goals addressing student and employee goals and was adopted in December 2007, for the years 2007 through Our strategic plan has now been updated as the Design for Excellence 2020 (DfE 2020). The plan continues to address expectations for students and employees in accordance with Virginia Standards of Quality. Goals in the Design for Excellence 2020 state the School Board s expectations for achievement outcomes for all students in three areas: knowledge, skills and values. The goals, objectives and guiding principles are designed to lead to the fulfillment of the mission and vision and guide all decisions. Here are the vision, mission, goals, and guiding principles. The complete DfE 2020 can be found at Vision will provide an engaging and relevant education that prepares every student to adapt and thrive in a rapidly changing world. Mission, in partnership with students, families and communities, emphasizes and supports high levels of achievement through a global education for all, with options and opportunities to meet the diverse needs and interests of individual students. Goal 1: All learners will acquire, analyze, synthesize and evaluate information to solve meaningful problems and to achieve success as productive, thriving global citizens. Goal 2: All learners will demonstrate the 21st-century learning and technology skills and knowledge that will prepare them for success in school, postsecondary education, work and life in a global society. Goal 3: Working in partnership with school and family, all learners will understand, model and embrace the important attitudes and attributes necessary to be responsible global citizens. Guiding Principle: Student Engagement Learning is our core purpose. Guiding Principle: Community of Learners Effective teaching is the most essential factor in student learning, and effective leaders support learning. Guiding Principle: Quality Service and Operations Excellence requires planning and change. Guiding Principle: Community Investment Our citizens, parents, students and employees are partners in sustaining competence and investing in excellence. Guiding Principle: Safe, Supportive and Nurturing Learning Environments Trusting relationships and our core values respect, responsibility, honesty and accountability foster learning Page 5

11 INTRODUCTORY SECTION EXECUTIVE SUMMARY PROFILES OF THE SCHOOL BOARD MEMBERS AND SUPERINTENDENT Dianne H. Smith Clover Hill District Chair Elected to the School Board in November 2011, Dianne H. Smith represents the Clover Hill District. Mrs. Smith worked in as a classroom teacher, reading teacher, assistant principal and principal. She was also the assistant director of human resources and director of leadership. In June 2011, she retired as principal of Winterpock Elementary School after more than 30 years in CCPS. Mrs. Smith, and her husband Danny, have two sons who are graduates of Chesterfield schools and a daughter-in-law who is a former Chesterfield teacher. Mrs. Smith is the proud grandmother of two girls. Carrie E. Coyner Bermuda District Vice Chair Elected to the School Board in November 2011, Carrie E. Coyner represents the Bermuda District. Mrs. Coyner is the founder and owner of Rudy, Coyner & Associates, Attorneys at Law and practices in the fields of real estate, construction, land use, estate matters and corporate entity structuring. She has served on the Board of Directors of the Chesterfield Chamber of Commerce, the Board of Management for the Chester YMCA and numerous committees throughout the county. Mrs. Coyner and her husband, Matt, have three children; their oldest will enter second grade and their middle child will start kindergarten this fall in. David S. Wyman Dale District Elected to the School Board in November 2006, David S. Wyman represents the Dale District. Mr. Wyman is a senior international financial executive with more than 20 years of experience in high-tech, manufacturing and software environments. He is currently the chief financial officer at Elk Hill Farm Inc., a nonprofit organization focused on helping Virginia's at-risk youth. Mr. Wyman and his wife, Stephanie, have two daughters, both graduates of Chesterfield schools. Thomas J. Doland Matoaca District Re-elected to the School Board in November 2011, Thomas J. Doland represents the Matoaca District. Mr. Doland is a retired school psychologist and supervisor of school psychologists for Chesterfield County Public Schools. He currently teaches developmental psychology at John Tyler Community College. He served on the School Health Advisory Board and on the Chesterfield County Emergency Services Committee. Mr. Doland and his wife, Linda, have five children who attended Chesterfield County Public Schools. They have nine grandchildren. Page 6

12 INTRODUCTORY SECTION EXECUTIVE SUMMARY Debra E. Girvin Midlothian District Elected to the School Board in March 2014, Debra E. Girvin represents the Midlothian District. Since 1997, she has owned and operated the Lochlyn Company, a human resources and business consulting firm. She has 25 years of experience in human resources and business administration. She has worked with diverse organizations and has extensive experience in immigration issues. Mrs. Girvin is an advocate for business and is active in a number of organizations that support business. She currently chairs the Government Affairs Committee for the Chesterfield Business Council of the Greater Richmond Chamber of Commerce. Mrs. Girvin and her husband, Bill, have three grown children. Marcus J. Newsome, Ed.D. Superintendent During the past 30 years, Dr. Marcus J. Newsome has served children as a teacher, building administrator, curriculum writer and central office administrator. In October 2006, he became superintendent of, the fifth-largest school division in Virginia, with about 58,000 students. Immediately after his appointment, he developed the Design for Excellence, a strategic plan for comprehensive school improvement. Dr. Newsome came to Chesterfield from Newport News Public Schools, where he spent three years as superintendent. Dr. Newsome and his wife, Patsy, have three children and two grandchildren. Page 7

13 INTRODUCTORY SECTION EXECUTIVE SUMMARY SUPERINTENDENT S CABINET Page 8

14 INTRODUCTORY SECTION EXECUTIVE SUMMARY BUDGET CALENDAR August 20, 2013 (Tuesday) September 17, 2013 (Tuesday) October 15, 2013 (Tuesday) November 19, 2013 (Tuesday) December 17, 2013 (Tuesday) December 19, 2013 (Thursday) January 16, 2014 (Thursday) January 28, 2014 (Tuesday) January 30, 2014 (Thursday) February 4, 2014 (Tuesday) February 11, 2014 (Tuesday) February 12, 2014 (Wednesday) School Board s Citizen Budget Advisory Committee first meeting School Board s Citizen Budget Advisory Committee second meeting School Board s Citizen Budget Advisory Committee third meeting School Board s Citizen Budget Advisory Committee fourth meeting School Board s Citizen Budget Advisory Committee fifth meeting Superintendent s Budget Advisory Committee first meeting Superintendent s Budget Advisory Committee second meeting School and department administrators briefed in the morning on the Superintendent s Proposed Financial Plan to be presented to the School Board this evening; media briefed in the afternoon (information embargoed) Superintendent s FY2015 Proposed Financial Plan presented to the School Board School Board s Citizen Budget Advisory Committee sixth meeting School Board Budget work session No.1 Public Hearing during regular School Board meeting Board of Supervisors authorizes and advertises tax rate February 18, 2014 (Tuesday) School Board Budget work session No. 2 February 19, 2014 (Wednesday) February 25, 2014 (Tuesday) March 3, 2014 (Monday) March 10, 2014 (Wednesday) March 26, 2014 (Wednesday) July 1, 2014 (Tuesday) August 12, 2014 (Tuesday) August 13, 2014 (Wednesday) August 28, 2014 (Thursday) School Board s Citizen Budget Advisory committee seventh meeting School Board approves FY2015 Financial Plan School Board s Financial Plan to be transmitted to Board of Supervisors and County Administrator as required by the County Charter County Administrator presents proposed FY2015 budget including School Board s Financial Plan Board of Supervisors holds public hearing to include input on School Board s Financial Plan Fiscal Year begins School Board adopts FY2015 Annual Financial Plan Final budgets distributed to all schools and departments School Board s FY2015 Adopted Financial Plan printed and released Page 9

15 INTRODUCTORY SECTION EXECUTIVE SUMMARY BUDGET PROCESS The Superintendent is required by the Code of Virginia to submit to the governing body, with the approval of the School Board, a budget proposal for the next fiscal year that will adequately support the needs of the public schools of the school division. The School Board is required to hold at least one public hearing before it gives final approval to its budget for submission to the governing body. In addition, the Charter of Chesterfield County - Section 5.2, states the following: No later than March 1st of each year, the superintendent of schools shall submit to the county administrator his estimate of projected revenues and expenditures for the next fiscal year in a form requested by the county administrator as well as a five-year capital improvements program. budget process is a two-year process closely aligned to the school division s strategic plan The Design for Excellence For FY2015, the School Board also approved a five-year plan to build on the FY2015 adopted budget, creating a roadmap for the foreseeable future. Also during the FY2015 process, a Citizens Budget Advisory Committee was created to help the superintendent and School Board evaluate and allocate resources in alignment with the Design for Excellence 2020 to ensure a high quality, effective and efficient school division. Citizens Budget Advisory Committee members serve two-year terms. The work of the committee includes: reviewing the school system s budget process reviewing expenditure, staffing and performance data and reporting on whether resource allocations advance School Board priorities working with staff members during budget development to advise the superintendent and School Board on resource allocation relative to alignment with strategic goals reviewing projected revenues and expenditures and providing advice on options to compensate for variances. While the budget process may change somewhat in future years with the recent creation of the Citizens Budget Advisory Committee, the following describes the process for FY2015/FY2016. In the first year of the biennium, the process begins in late summer/early fall with School Board guidance and direction for development of the budget. The work of the Citizens Budget Advisory begins at the same time. Broad input is sought from the community at large, parents, staff members, and organizations such as the Chesterfield Chamber of Commerce (CCC), Chesterfield Public Education Foundation (CPEF), Chesterfield Education Association (CEA), the County Council of Parent Teacher Associations (CCPTA), Chesterfield Educational Office Professionals Association (CEOPA), and advisory groups. The second year of the budget process focuses on refining year two, including revisions for unanticipated needs such as changes in student growth patterns. In the fall, each school and department receives a baseline allocation from which it will develop an operating budget request, reflecting its spending plan for the coming fiscal year. The baseline allocation for schools is determined primarily by the application of standards, which meet or exceed State Standards of Quality and/or Standards of Accreditation. These local standards are approved by the School Board. The baseline budgets developed by departments reflect the funding necessary to accomplish assigned missions and responsibilities and to continue the current level of operation for the school division. Departmental budgets are not determined by standards; consequently, baseline requests are zero-based and must be justified in every case. An intensive deliberation process follows the submission of the budget requests. The Superintendent s Cabinet members advise the Superintendent in late November of potential budget initiatives. A budget initiative is a recommendation made by one or more of the functional areas of the school division that, if approved, will have an effect on the base budget being developed by schools and departments. A budget initiative may be the expansion of an existing program or the addition of a new program. It may also be a recommendation to discontinue a program already in place. These budget initiatives submitted to the Superintendent must support one or more of the priority goals included in the Design for Excellence. Budget initiatives meeting this criterion are then presented to the Citizens Budget Advisory Committee and the Superintendent s Budget Advisory Council (BAC). This advisory group is composed of representatives from the organizations mentioned above. The BAC meets several times as necessary throughout the months of November and December to review budget requests within the context of available resources and makes recommendations for funding initiatives to the Superintendent. During January, the Superintendent will ultimately determine a overall plan that best reflects the school division's mission and vision. Near the end of January of each year, the Superintendent presents this financial plan to the School Board, as required by state law. This ends the first or proposed phase of the budget. The second, or advertised stage of the budget calls for consideration of the Superintendent's proposal by the School Board. Through a series of budget work sessions, public hearings and reports from the Citizens Budget Advisory Committee and the Superintendent s Budget Advisory Committee, the School Board solicits input with which to develop a budget request to be submitted to the governing body, the Board of Supervisors. The County Charter requires the Superintendent to submit to the County Administrator an estimate of projected revenues and expenditures for the next fiscal year in a form requested by the County Administrator no later than March 1 of each year. In recent years, the prescribed format has been a budget that is balanced within projected available revenues. The Board of Supervisors also conducts a series of work sessions and public hearings as it develops the county s budget, which it is required by County Charter to approve, including the School Board s annual financial plan, no later than May 1 of each year. The Page 10

16 INTRODUCTORY SECTION EXECUTIVE SUMMARY School Board will then approve its annual financial plan in final form, based on the County's adopted budget, incorporating any changes that may have taken place since the time the advertised plan was approved. The Capital Improvement Plan process runs concurrently with the process for developing the operating budget. The Plan is developed in close coordination with Chesterfield County, who determines the availability of CIP funds in accordance with the Board of Supervisors established financial policies. The State Code of Virginia and the County charter require the development of a five year plan. For FY2015 and the successive years, the School Board elected to develop a nine-year plan to include a revitalization plan for a number of schools. The plan also includes major maintenance to extend the useful life and maintain the security of our facilities, as well as a blended learning initiative and technology replacement plan. The plan is updated annually and aligned with the County s adopted Comprehensive Plan and Public Facilities Plan. The Capital Improvement Plan receives public scrutiny and input similar to the operating budget process and is approved on a similar schedule. The budget process is finalized each year with Board of Supervisors approving a budget by state appropriation category for the school division and adopting an appropriations resolution under which the School Board operates for a given year. The FY2015 Appropriations resolution (sections pertaining to schools only) is shown below. FY2015 APPROPRIATIONS RESOLUTION A RESOLUTION TO APPROPRIATE DESIGNATED FUNDS AND ACCOUNTS FROM DESIGNATED ESTIMATED REVENUES FOR FY2015 FOR THE OPERATING BUDGETS AND THE CAPITAL IMPROVEMENT PROGRAM FOR THE COUNTY OF CHESTERFIELD, VIRGINIA BE IT HEREBY RESOLVED by the Board of Supervisors of the County of Chesterfield: That for the fiscal year beginning on the first day of July 2014 and ending on the thirtieth day of June 2015, the following sections shall be adopted: Sec. 1 The following designated funds and accounts shall be appropriated from the designated estimated revenues to operate and provide a capital improvement program for the county. It is the intent of the Board of Supervisors that general property taxes levied on January 1, 2014, and due December 5, 2014, be appropriated for FY2015. School Operating Fund Estimated Revenue: Local Sources $23,850,600 State 240,757,600 Federal 32,055,200 Transfer from School Operating 647,600 Transfer from School Food Service 1,000,000 Use of Reserve 1,250,000 Transfer from General Fund: State Sales Tax 58,248,300 Local Taxes 241,010,600 Prior Year Revenue 6,883,700 Grounds Maintenance 1,831,100 Total General Fund 307,973,700 Use of Assigned Fund Balance 1,000,000 Total Revenues and Funding Sources 608,534,700 Appropriations: Instruction 410,396,000 Administration, Attendance & Health 21,281,200 Pupil Transportation 32,574,300 Operations & Maintenance 56,322,400 Technology 12,338,000 Debt Service 42,860,100 Food Service 25,155,900 Grounds Maintenance 1,831,100 Transfer to and/or Assignment for School Capital Projects 5,775,700 Total Appropriations $608,534,700 Page 11

17 INTRODUCTORY SECTION EXECUTIVE SUMMARY Sec. 2 Appropriations in addition to those contained in the general appropriation resolution may be made by the Board only if there is available in the fund an unencumbered and unappropriated sum sufficient to meet such appropriations. Sec. 3 The County Administrator may, as provided herein, except as set forth in Sections 7, 12, 13, 14, 15, 16, 18 and 23 authorize the transfer of any unencumbered balance or portion thereof from one classification of expenditure to another within the same department or appropriation category. Unless otherwise provided below, the County Administrator may transfer up to $50,000 from the unencumbered appropriated balance and prior year end carry forward assignments from one appropriation category (including assigned fund balance) to another appropriation category. No more than one transfer may be made for the same item causing the need for a transfer, unless the total amount to be transferred for the item does not exceed $50,000. Sec. 4 The County Administrator may increase appropriations for non-budgeted revenue that may occur during the fiscal year as follows: a)insurance recoveries received for damage to any county property, including vehicles, for which County funds have been expended to make repairs. b)refunds or reimbursements made to the county for which the county has expended funds directly related to that refund or reimbursement. c)revenue not to exceed $50,000. Sec. 5 All outstanding encumbrances, both operating and capital, in all county funds up to $15 million, at June 30, 2014 shall be an amendment to the adopted budget and shall be reappropriated to the 2015 fiscal year to the same department and account for which they were assigned in the previous year subject, if applicable, to any public hearing requirements. At the close of the fiscal year, all unassigned appropriations lapse for budget items other than: capital projects; general fund transfers for capital projects and grants; construction assignments for capital projects; assignments for county and school future capital projects; other use of restricted, committed, or assigned fund balances; District Improvement Funds; donations restricted to specific purposes; federal and state grants, PPTRA revenues; other revenue and program income; revenue recovery funds; Title IV-E funds; cash proffers; all tax revenues received for special assessment districts and interest earnings thereon; Fire and Emergency Medical Services apparatus funding; Economic Development incentive funds; actual transient occupancy tax revenues received and budgeted expenditures in connection with the Richmond Convention Center; and refunds for off-site and oversized water and wastewater facilities. Any funds budgeted in a given fiscal year that are specifically budgeted to add to an assignment of fund balance shall be automatically authorized to be assigned during the year end audit process. All excess revenues and any unspent appropriations in the telecommunications program is authorized to become an automatic assignment for future telephone system upgrades. All revenues from the increased vehicle registration fee received in excess of those budgeted for the state revenue sharing program shall automatically be authorized as an assignment of fund balance at year end. Sec. 6 Appropriations designated for capital projects will not lapse at the end of the fiscal year. The County Administrator may approve transfers between funds to enable the capital projects to be accounted for correctly. Upon completion of a capital project, staff is authorized to close out the project and transfer any remaining balances to the original funding source. The County Administrator may approve construction contract change orders up to an increase of $49,999 and approve all change orders for reductions to contracts. The Board of Supervisors must approve all change orders of $50,000 or more or when the aggregate of all changes to a contract exceeds 10% of the original contract amount or 20% if the original contract is for less than $500,000. Sec. 7 The County Administrator is authorized to approve transfers among Utilities funds and capital projects as long as funding sources are consistent and total net appropriation is not increased. Should the actual contract price for a project be less than the appropriation, the County Administrator may approve the transfer of excess funds back to the original funding source upon completion of the project. Sec. 8 Upon completion of a grant program, the County Administrator is authorized to close the grant and transfer balances back to the funding source. The County Administrator is authorized to reprogram Community Development Block Grant funds by closing program cost centers and transferring funding to newly approved programs based on adoption by the Board of Supervisors. Sec. 9 The County Administrator may reduce revenue and expenditure appropriations related to programs, functions, capital projects, grants, or departments to the level approved. Sec. 10 The Director of Accounting is authorized to make transfers to various funds for which there are transfers budgeted. The Director shall transfer funds only as needed up to amounts budgeted, or in accordance with any existing bond resolutions that specify the manner in which transfers are to be made. Page 12

18 INTRODUCTORY SECTION EXECUTIVE SUMMARY Sec. 11 The Treasurer may advance monies to and from the various funds of the county to allow maximum cash flow efficiency. The advances must not violate county bond covenants or other legal restrictions that would prohibit such an advance. The Treasurer may also advance cash in support of employee benefit accounts. Sec. 12 The County Administrator is authorized to make expenditures from Trust & Agency Funds for the specified reasons for which the funds were established. In no case shall the expenditure exceed the available balance in the fund. Sec. 13 The County Administrator is authorized to transfer among appropriation categories and/or appropriate funds and assignments of fund balance in excess of $50,000 for supplemental retirement, Workers Compensation, healthcare for retirees and other compensation-related costs, as well as for transfers to departments to cover energy/fuel costs. Sec. 14 The County Administrator may appropriate revenues and increase expenditures in excess of $50,000 for funds received by the county from asset forfeitures for expenditures related to drug enforcement or other allowable expenditures. The balance of these funds shall not lapse but be carried forward into the next fiscal year. Sec. 15 The County Administrator may increase the general fund appropriation in the School Operating Fund contingent upon availability of funds and other circumstances, based on the following schedule: a) Increase general fund transfer/appropriation on December 15 by $3,000,000. b) Increase general fund transfer/appropriation on February 15 by $3,000,000. c) Increase general fund transfer/appropriation on May 5 by $3,000,000. And furthermore, as the general fund appropriation includes funding for school debt service associated with an increase in the real estate tax rate, the County Administrator shall be authorized to reserve at year end, actual collections of tax revenue associated with the increase in the real estate tax rate for the purposes of funding school s debt service. The reserve will be automatically made an assignment from the general fund balance and held in the general fund. The County Administrator is authorized to transfer funds from the reserve to the school division as is needed from year to year to cover the increased costs of debt service in the school fund. Sec. 16 The County Administrator is authorized to reallocate funding sources for capital projects, arbitrage rebates/penalties, and debt service payments and to appropriate bond interest earnings to minimize arbitrage rebates/penalties, including the appropriation of transfers among funds to accomplish such reallocations. Budgets for specific capital projects will not be increased beyond the level authorized by Sections 3 and 4. The County Administrator is authorized to transfer cash proffers among capital projects to ensure spending in a timely manner as long as the capital improvement program net appropriation is not increased. Sec. 18 The County Administrator is authorized to approve transfers among funds and capital projects as long as total net appropriation is not increased. Sec. 20 Upon adoption of this resolution, the School Board and/or the School Superintendent may make expenditure and revenue changes within the school operating funds as follows: a) Transfers of $50,000 or less are subject to the approval of the Superintendent. b) Transfers of $50,001 to $499,999 require the approval of the Superintendent and the School Board. c) Transfers of $500,000 or more require the approval of the Superintendent, the School Board, and the Board of Supervisors. The School Board and/or the School Superintendent shall prepare a budget status report reflecting changes to the approved school budget between appropriation categories, as amended, and the report shall be presented to the County Administrator quarterly. Amending the Adopted Budget The State Code of Virginia permits appropriation either by lump sum or by category. The governing body approves the Chesterfield County School Board's budget in the appropriation categories prescribed by the State Board of Education in accordance with the State Code of Virginia; i.e., (i) instruction, (ii) administration, attendance and health, (iii) pupil transportation, (iv) operations and maintenance, (v) school food services and other non-instructional operations, (vi) facilities, (vii) debt and funds transfers, (viii) technology, and (ix) contingency reserves. The School Board, however, has been granted the authority by the Board of Supervisors to make expenditures and incur obligations for specific purposes beyond the funding level of an appropriation category as delineated in Chesterfield County s FY2015 Appropriations Resolution above. Page 13

19 INTRODUCTORY SECTION EXECUTIVE SUMMARY In addition, School Board Policy 7120 states: BUDGET - FUNDS TRANSFERS The adoption of the budget by the School Board includes the authority for the administration to make expenditures as appropriated by the Appropriation Resolution approved by the Board of Supervisors. Such appropriation may relate to its total only or to such major classifications prescribed by the State Board of Education pursuant to Va. Code Transfers between major object groups within a department/school or from one department/school to another in the same major classification shall require the approval of the Superintendent or the Superintendent's designee. In the event that the Board of Supervisors appropriates by major classifications and grants authority to the Superintendent and/or the School Board to transfer a portion of the funds from one major classification to another without the further approval of the Board of Supervisors, such transfer, or successive transfers, may be accomplished as authorized and limited by the Appropriation Resolution. In no event shall a major classification transfer exceeding $50,000 occur without the prior approval of the School Board. Major classification transfers approved by the Superintendent shall be reported to the School Board at its next occurring regular meeting. Proposed transfers in excess of the dollar limitations established in the Appropriation Resolution shall be submitted to the Board of Supervisors for prior approval. A budget status report reflecting changes to the adopted budget, as amended, shall be presented to the School Board and the Board of Supervisors as necessary, but no less often than semi-annually. Changes to major classifications, if any, shall be included in this report. Adopted: December 8, 2009 Page 14

20 INTRODUCTORY SECTION EXECUTIVE SUMMARY Membership (M) ALLOCATION OF HUMAN AND FINANCIAL RESOURCES Projected September 30 membership is used to determine the majority of the staffing and materials allocations for each school for the budget year. The projected membership for the fall of 2014 (FY2015), as well as comparisons to actual September 30 membership in prior years, is shown below. FY2013 FY2014 FY2015 Change Actual Actual Projected From Membership Membership Membership FY2014 Elementary 25,788 25,977 26, Middle 13,991 13,914 13, High 18,732 18,826 18,732 (94) TOTAL 58,511 58,717 58, Average Daily Membership (ADM) Projected March 31 average daily membership is used as the basis for projecting the distribution of Basic School Aid to the school division from the state. The projected March 31 ADM for FY2015 and comparisons to March 31 ADM in prior years are shown below. FY2013 FY2014 FY2015 Change Actual Actual Projected From ADM ADM ADM FY2014 Elementary 25,675 25,863 26, Middle 13,926 13,853 13, High 18,647 18,743 18,648 (95) TOTAL 58,248 58,459 58, Staffing Instructional staffing across individual schools is allocated primarily on School Board-approved standards that meet or more often exceed state staffing standards. The School Board staffing standards are applied using projected student membership (as described earlier) to develop the staffing allocations for the budget year. These staffing allocations may be adjusted during the summer after approval of the budget if more accurate membership data warrants a change. In addition, teaching positions are provided beyond those generated by the staffing standards to reduce pupil-teacher ratio in targeted schools as described below. As a part of the FY2015 budget, a process was initiated for the purpose of decreasing the pupil to teacher ratio (PTR) to be better aligned with other divisions across Virginia. For FY2015, the school division was provided with 111 full time equivalent (FTE) teaching positions to reduce class sizes K 12 and expand elective offerings at the secondary level. Based on the allocation of the FTEs, the PTR was essentially reduced by an average of one at the elementary level (from 25:1 to 24:1), the middle school level (from 27:1 to 26:1) and the high school level (from 26:1 to 25:1). However, the impact is intended to be targeted, making it greater in some schools and content areas than others. A detailed presentation of both of these staffing allocations can be found in the Information Section. Page 15

21 INTRODUCTORY SECTION EXECUTIVE SUMMARY Benefits The following rates were used to calculate the School Board's cost of benefits for the budget year (compared to the current year s rates): FY2014 FY2015 Retirement (professional) 12.77% 15.56% Retirement (non-professional) 11.48% 10.90% Group Life Insurance 1.19% 1.19% FICA (social security) 7.65% 7.65% Health/Dental Insurance (estimate per employee) $5,160 $5,219 Estimates for the following employee benefits are calculated based on history: Worker's Compensation Unemployment Compensation Annual Leave Sick Leave School Materials Allocation Per pupil allocations for materials and supplies are distributed to the schools for budget purposes based on projected September 30 membership for the coming year. These allocations are adjusted (in October of the budget year) upward for each additional student in actual September 30 membership beyond the projection and downward for each student in actual September 30 membership less than the projection. An increase is calculated with the first additional student in actual membership; a reduction does not take effect until the student loss exceeds one percent (1.0%) of total membership. Each year, school principals receive a budget allocation based on the projected number of students in membership and the applicable per pupil allocations. From that allocation, the principal develops a financial plan that best reflects the needs of the school community. The allocations are per-pupil based on the projected number of students in September 30 membership (unless otherwise indicated) and are shown below: Per Pupil Allocations: Elementary $51.43 Middle $57.34 High $51.35 Technical Centers $51.35 These per pupil allocations include funding for instructional supplies, travel, dues and memberships, the library, capital equipment, and medical supplies. Page 16

22 INTRODUCTORY SECTION EXECUTIVE SUMMARY Library Add-on Each school receives additional funding to support fixed costs for the library, such as equipment maintenance and periodical subscriptions. The purpose of this add-on funding is to provide the means for schools to use the library per pupil allocation entirely for the development and replacement of electronic and print collections. The allocation per school is shown below: Elementary $ Middle $1, High $1, There are several other allocations that are based on criteria other than total number of students. They are: Supplies for audio-visual equipment: (Per school allocation) Elementary $ Middle $ High $ Technical Center $ English for Speakers of Other Languages (ESOL) Allocation: (Per ESOL student in September 30 membership) Elementary $ 8.00 Middle $ 8.00 High $ 8.00 Departments Each department receives a target operating allocation at the beginning of the process that is based on the prior year s adopted budget, less any one-time expenses and other adjustments. Likewise, the staffing allocation is based on the staffing level approved in the prior year s budget, adjusted for any changes that may have taken place after the budget was adopted. Fixed Charges There are a number of recurring costs included in the budget each year, most of which are not considered part of a particular school or departmental budget. Some examples of these costs are debt service, charges for county-provided services, and salary lapse. All of the fixed charges are calculated and/or included in the budget by the Office of Management and Budget. Page 17

23 INTRODUCTORY SECTION EXECUTIVE SUMMARY GUIDING PRINCIPLES FOR BUDGET DEVELOPMENT The five guiding principles established in the Design for Excellence 2020 are daily expectations in Chesterfield County Public Schools. To this end, the adopted FY2015 financial plan for all funds totaling $618,525,400 and 7,926.6 FTEs has been developed to support these five guiding principles: STUDENT ENGAGEMENT Develop schoolwide initiatives that promote student engagement by involving students in school activities and classroom work Incorporate teaching strategies that include high rigor and relevance, personalization of learning, active learning strategies, and a focus on reading Provide stimulating and comfortable classrooms, positive core values instruction, and insure student mastery of basic technical and social skills COMMUNITY OF LEARNERS Provide a sound and challenging learning environment for all employees and students Analyze student achievement data thoroughly with the goal of continuous improvement Support the needs of learners with professional growth and performance plans Support the process with professional and leadership development Ensure everyone has a voice through cultural competence QUALITY SERVICE AND OPERATIONS Assure compliance with applicable laws, regulations and policies Align appropriate resources by using proactive, flexible strategic planning and budgeting processes Develop and maintain a diverse workforce committed to student success in school and beyond high school COMMUNITY INVESTMENT Provide accurate regular, timely and consistent messages and information that build public support and help residents make informed educational decisions Provide opportunities for two-way communication and public engagement seeking citizen input for vital initiatives such as the budget process and comprehensive plan development Promote educational partnerships and volunteerism for schools and for the entire school division SAFE, SUPPORTIVE AND NURTURING LEARNING ENVIRONMENTS Collaborate with local and state health, safety and emergency personnel for a proactive approach to security Build positive relationships among students, teachers, staff members, parents, and volunteers Provide instruction to engage multiple learning styles; implement the Effective Schoolwide Discipline initiative and encourage healthy lifestyles Page 18

24 INTRODUCTORY SECTION EXECUTIVE SUMMARY STUDENT ENGAGEMENT The FY2015 budget was developed with a primary focus on preserving and expanding instructional programs consistent with the Design for Excellence A total of 111 teaching positions has been added to the budget for FY2015 to begin reducing the pupil/teacher ratio K-12 and to expand elective offerings at the secondary level. The impact of this initiative is intended to be targeted, affecting the schools with the greatest need first. Chesterfield County Public Schools continues to have a wide range of course offerings including honors and advanced placement courses as well as dual enrollment courses in conjunction with area colleges and universities. Specialty centers, International Baccalaureate programs, center-based gifted programs at the elementary and middle schools levels as well as Technical Center courses are among the academic options for students in FY2015. A second career and technical center will open (Hull Street location) in the fall of A number of the courses currently offered at the Courthouse Technical Center will also be offered at the second location, as well as a number of new courses. Programs for special populations disadvantaged students, disabled students and English Speakers of Other Languages will continue as well. In addition to the core curriculum, our elementary schools will offer instruction in art, music, physical education, library and technology as well as world languages in 13 of these schools. A full range of music and art instruction will be offered at our secondary schools, including orchestra, band, choral programs, photography and art. We will continue our integration of technology to ensure meaningful learning for each student and will maintain the utility of technology which has become as vital as other basic utilities such as electricity, water and gas. Chesterfield continues to be the largest participating division in both the Maggie Walker Governor s School and the Appomattox Regional Governor s School as well as the Math and Science Innovation Center. The State Comprehensive Services Act requires local governments and school boards to collectively serve mandated populations. The School Board funds 35% of the costs incurred for this effort. The Design for Excellence 2020 supports development of the whole child, to include an emphasis on closing achievement gaps. Schools use engaging instruction supplemented by multiple tiers of intervention to meet individual student needs. Funding in this adopted budget includes increased funding for safety nets, continuation of reading support such as PALS tutors and reading specialists in every elementary school, and professional development for teachers and other staff. While the large majority of the blended learning initiative is being funded in the Capital Improvement Plan, it is important to note this ambitious endeavor for our students for FY2015 here. defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. This approach allows teachers to use technology for instruction and student evaluation. Teachers can receive real-time feedback on student performance, and students can learn individually at their own pace. By combining technology and traditional best practices, instruction can be differentiated to meet individual student needs. Instantaneous feedback and individualized instruction will also empower students to take ownership of their learning. For FY2015, Chromebooks, a component of the blended learning initiative, will be issued to all middle school students with high schools to follow in FY2016. COMMUNITY OF LEARNERS is a community of learners committed to providing a sound and challenging learning environment for all students and employees. Effective teaching is the most essential factor in student learning and effective leaders support learning. It is the policy of the Chesterfield County School Board and County Government to establish and maintain a coordinated compensation system that is internally and externally equitable and allows to attract, motivate and retain qualified employees at all levels of service. FY2009 represented the third and final year of a compensation plan to bring salaries to the local market average. The goals of the three-year plan were accomplished; however, budget constraints in FY2010 did not permit salary increases for any employee of the school division. The FY2011 budget outlook forced a salary reduction for all employees as well as reductions in other benefits. The FY2013 budget restored the FY2011 salary reduction as well as another small increase to offset the one percentage point of the VRS payment that CCPS employees were required to pay in FY2013. The following year, employees received a 4% salary increase to offset the remaining 4 percentage points they are now required to pay as the employee share of the VRS benefit. At midyear, all employees received a 2 percent salary increase as well. For FY2015, all eligible employees will receive a 1% salary increase. In addition, athletic and academic supplements will be restored to the FY2009 levels after a 15% reduction for the past several years. Payments to the Virginia Retirement System on behalf of our employees as well as group life insurance payments will rise substantially for the increase in the VRS retirement rate and for the salary increases as well as the increase in FTE positions for FY2015. Federal law also requires the school system to make its contribution to the Social Security system on behalf of our employees. Additional dollars are required as a result of the additional FTE positions and the salary increases. This adopted plan includes the School Board s continued significant contributions on behalf of its employees for health care. The School Board s contribution to dental coverage was reduced by one-half in FY2011 and remains at that level for FY2015. Page 19

25 INTRODUCTORY SECTION EXECUTIVE SUMMARY QUALITY SERVICE AND OPERATIONS efficiently and effectively exceeds minimum compliance standards, has a pervasive commitment to the highest quality service and maintains a culture of honesty and integrity. As part of our ongoing efforts to ensure that operations are as efficient as possible, the Chesterfield County School Board and superintendent volunteered in the fall of 2009 to participate in the Virginia School Efficiency Review Program. MGT of America was contracted by the Virginia Department of Planning and Budget to conduct the study. Auditors examined administration, human resources, finance, purchasing, educational service delivery costs, special education, facilities, transportation, technology, management and food services. After analyzing data from interviews, community input, state and school division documents and first-hand observations, MGT developed 77 recommendations. Of those, 21 had fiscal implications 10 recommendations would save money while 11 would require additional funds. Implementing all of the recommendations would save $4.5 million during , representing 0.7% of the operating budget. From that data, one could conclude that Chesterfield schools are operating at 99.3% efficiency. During the development of the FY2011 budget, the School Board adopted $4.3 million of the $4.5 million in recommended efficiencies. In recent years, the county and school division formed a joint efficiency committee to accept staff and community suggestions and review options for increased efficiencies. Other ongoing activities to support this goal are policy development and review, revisions to the budget process for alignment with the six-year plan, and development of a comprehensive plan for curriculum, instruction, and assessment management systems with strong links to staff and leadership development. COMMUNITY INVESTMENT Our community is a rich source of relationships for our students and staff and we value the investment made by our many community groups, including the Chesterfield Public Education Foundation, the faith community, the Citizens Budget Advisory Committee, the Committee on the Future and others. The School Board began formal public engagement sessions a number of years ago to glean more input from our citizens. The Superintendent s community forums began at the same time and were held in each magisterial district detailing the strategic plan for achieving excellence in our schools. The Superintendent and School Board believe everyone in Chesterfield County has a role to play in public education and these activities are avenues for our community to invest in an excellent education for our young people. Two initiatives, intended to keep parents and students informed, both in academics as well as scheduled events and emergency situations, continue to be funded in the FY2015 budget. Blackboard Connect is a telephone notification system available at all levels and from Community Relations at the central office level. Edline provides grade and class assignment information to parents and students at the secondary level. In addition, CCPS has a common template for school websites at each level. This template sets consistent expectations for student, parent, and community information. SAFE, SUPPORTIVE AND NURTURING LEARNING ENVIRONMENTS A primary objective here is to provide safe and secure school buildings and operations. To address this objective, the budget includes school resource officers and security monitors at the secondary level. For a number of years, the school division has had agreements to buy some of its other services from the County, such as grounds maintenance, public health nurses, and school resource officers, as well as accounting and purchasing. For FY2015, the School Board will begin a plan to outsource custodial services and reduce the level of warehouse services provided currently. This plan, intended to create additional efficiencies and maximize funding for instruction, is projected to save the school division about $2.0 million in FY2015. Our capital improvement program, funded primarily with bond proceeds and pay as you go local funding, has provided new and renovated facilities over the years and includes significant funding for safety initiatives and energy improvements. The issuance of bonds requires significant principal and interest payments each year from the operating fund. Funding from special grants has enabled visitor management systems to be installed in every school and provided security cameras and limited access systems at the elementary level as well. The Capital Improvement Plan is designed to closely align with Chesterfield County s Comprehensive Plan and is based on three important tenants; ensuring sufficient and appropriate educational space for our students, properly maintaining all facilities, and promoting parity and equity among all schools. The public facilities plan included in the Comprehensive Plan states: high performing, high quality public schools contribute to the quality of life and economic vitality of Chesterfield County. The importance of providing school facilities equitably to all county residents is paramount, as is finding ways to plan and adapt to future needs on the basis of anticipated trends in demographics and technology. Page 20

26 INTRODUCTORY SECTION EXECUTIVE SUMMARY Financial Component All Funds - Revenue by Source FY2015 ADOPTED BUDGET FUND SUMMARIES FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 21,004,808 22,629,852 21,252,115 23,830,700 25,205,550 1,689,850 State 206,423, ,846, ,108, ,194, ,757,602 16,563,002 State Sales Tax 48,440,160 50,563,395 55,340,750 58,084,600 58,248, ,700 Federal 45,111,943 42,920,416 33,932,975 33,034,100 31,805,248-1,228,852 Transfers 239,390, ,648, ,208, ,912, ,193,700 14,281,300 Bond Refunding - 53,383, Beginning Balance 72,029,536 70,584,963 55,539,718 1,000,000 1,000,000 0 Total All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 All Funds Expenditures by Fund FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Fund Actuals Actuals Actuals Adopted Adopted Difference Operating 563,504, ,996, ,789, ,509, ,304,500 32,795,100 Grants 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 Federal Food Service 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 Non-Federal Food Service 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 Total - All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 All Funds Expenditures by Category All Funds FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Category Description Actuals Actuals Actuals Adopted Adopted Difference 61 Instruction 423,356, ,362, ,640, ,641, ,113,900 26,472, Admin / Attendance & Health 18,091,782 18,288,017 19,624,749 21,254,000 21,301,800 47, Pupil Transportation 27,821,311 29,391,545 31,691,586 29,618,700 32,616,000 2,997, Operation & Maintenance 65,202, ,602,551 60,734,664 59,033,700 59,703, , Food Services 37,099,559 22,035,052 39,288,750 24,876,000 25,975,100 1,099, Technology - Schools 13,043,754 28,942,530 13,787,957 14,273,000 14,955, , Debt Service 47,784,299 98,955,563 44,613,946 43,360,000 42,860, ,900 Total All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 Page 21

27 INTRODUCTORY SECTION EXECUTIVE SUMMARY FY2015 Operating Fund: $567,304,500 County $ % Operating Fund Revenue Sources ($ in millions) Federal $ % Other $ % State $ % receives revenue from the state and federal governments as well as local sources. The operating revenue included in this adopted financial plan totals $567,304,500, an increase of $32.8 million or 6.1% above the adopted operating budget for FY2014. The primary funding sources are the transfer from the county government, as well as state aid and state sales tax. A much lesser amount of funding is available for the operating fund from the federal government, tuition and fees, prior year results of the school system operation and other sources. Sales Tax $ % The business of educating students is necessarily a labor intensive process. Approximately 80% of the total operating budget is dedicated to salaries and benefits for the school division s employees and retirees. Significant costs are budgeted in FY2015 in direct support of the instructional programs including, but not limited to materials and supplies, textbooks/digital content, technology and tuition. The physical plant, including 63 school locations, requires a number of additional costs such as maintenance, safety, cleaning, and utilities. Debt service payments, at $42.9 million, are another significant portion of the operating budget at 7.6 percent for FY2015. Salaries $ % Transfers $ % Debt Service $ % Capital Outlay $ % Operating Fund Expenditures by Major Object ($ in millions) Joint Operations Payments $ % Material & Supplies $ % Other Charges $ % Benefits $ % Purchased Svs $ % Internal Services $ % Page 22

28 INTRODUCTORY SECTION EXECUTIVE SUMMARY Instruction $ % Operating Fund Expenditures by Appropriation Category ($ in millions) Administration $ % The Chesterfield County Board of Supervisors annually appropriates funds for the operation of the school division in these major classifications based on a budget from the School Board reflecting the needs of the school division for the coming year. As shown, the School Board consistently allocates the largest majority of its resources to instruction. Debt Services $ % Technology $ % Operations & Maintenance $ % Transportation $ % Attendance & Health $ % FY2015 Grants Fund: $24,862,000 Grants Fund Revenue Sources ($ in millions) Chesterfield County receives grant funds from both the state and federal government, as well as from public and private organizations. The largest majority of funding from the 30 grants received comes from the federal government in the form of various Title grants. Federal $ % Transfers $ % State $ % Local $ % Page 23

29 INTRODUCTORY SECTION EXECUTIVE SUMMARY Salaries and Benefits $ % Grants Fund Expenditures By Major Object ($ in millions) Contractual Services $ % The largest majority of expenditures in the grants fund is salary and benefits and materials and supplies reflecting primarily teaching staff and instructional materials intended to supplement the instructional programs provided by the operating fund. Internal Services $ % Transfers $ % Capital $ % Materials and Supplies $ % Other Charges $ % More than 97% of the expenditures in the grants fund are categorized as either instruction or technology indicative of Chesterfield s primary mission to emphasize and support high levels of achievement through a global education for all. Instruction $ % Grants Fund Expenditures By Appropriation Category ($ in millions) Admin/Att&Health $ % Technology $ % Transportation $ % Page 24

30 INTRODUCTORY SECTION EXECUTIVE SUMMARY FY2015 Food Service Funds (combined): $26,358,900 Local $ % Food Service Funds (Combined) Revenue ($ in millions) State $ % Chesterfield County Schools operates a federal food service program in its elementary and middle schools and a non-federal program in its high schools. State and federal revenue as well as meal charges are received for the federal program, while the nonfederal program supports itself with vending and meal sales only. Federal $ % Food Services Funds (Combined) Expenditures by Major Object ($ in millions) The Food Service funds are self-supporting and transfer about $1.0 million each year to the operating fund for use of buildings. More than 75% of the expenditures for FY2015 will be for labor costs, food and other supply costs. The remainder of the expenses are primarily for improvements and equipment replacement in the school cafeterias. Materials and Supplies $ % Capital $ % Transfers Out $ % Other Charges $ % Internal Services $ % Contractual Services $ % Salaries and Benefits $ % Page 25

31 INTRODUCTORY SECTION EXECUTIVE SUMMARY ADOPTED BUDGET CHANGES FY2014 TO FY2015 The revenues available for the day to day operations of the school division are budgeted in the operating fund. For FY2015, the expenditures in this fund will increase by $32.8 million or about 6.1%. Given that the expenditure increases exceeded the level of revenue available, reductions were made to bring the budget into balance. Projected grant funding, budgeted in a separate fund, has declined $2.2 million or 8.1% due to the loss of several grants as well as adjustments to bring FY2015 projections more closely in line with FY2014 actual awards. Food service expenditures, in two separate funds, will increase about $900,000 or 3.5% in response to the opening of an additional educational facility as well as capital improvements to a number of existing facilities. Revenue - FY2014 Adopted Operating Budget $ 534,509,400 FY2014 Adopted Grants Budget $ 27,059,000 local revenue 1,235,000 Adjustments: state aid 16,896,100 IDEA (675,000) state sales tax 369,600 Headstart (265,000) county transfer 14,286,500 Title II (195,500) federal 7,800 Teaching American History (342,900) Revenue - FY2015 Adopted Operating Budget $ 567,304,500 Workforce Investment Act (475,700) Medicaid (95,000) grants administration (100,000) Expenditures - FY2014 Adopted Budget $ 534,509,500 other adjustments (47,900) Baseline Adjustments FY2015 Adopted Grants Budget $ 24,862,000 workers compensation 2,000,000 transportation - home to school 754,000 fund balance unfunded 586,500 fund balance funded 525,500 homebound education 458,300 FY2014 Food Service Funds (combined) $ 25,488,000 athletic/academic supplements 375,000 substitute teacher pay 340,000 Revenue Adjustments: special ed transportation 320,000 Meal sales 585,000 comprehensive services 249,800 Federal funding 655,000 Compensation Use of reserves (376,200) VRS rate change 7,610,100 State 7,100 1% salary increase 3,800,000 annualize salary increase 2,940,000 FY2015 Food Services Funds $ 26,358,900 annualize health care costs 2,700,000 New Students FY2014 Food Service Funds (combined) $ 25,488,000 student growth 1,418,000 K-3 935,000 Expenditure Adjustments: New or Expanded Initiatives salary adjustments 260,100 decrease PTR divisionwide 6,271,000 benefit and workers comp increases 261,100 replacement buses 2,000,000 staff for new tech center 138,800 CIP reserve 1,855,600 capital equipment purchases 533,100 CTC@Hull opening 1,500,000 CIP Reserve Transfer (322,200) safety net funding 343,200 data lines (increased bandwidth) 100,000 FY2015 Adopted Food Service Funds $ 26,358,900 Reductions outsourcing custodial - 8 schools (1,500,000) Total FY2015 Adopted Budget $618,525,400 warehouse reduction (534,900) debt service (500,000) county charges for services (287,500) special ed aide reduction (8 FTEs) (208,500) building lease (188,500) salary lapse (177,000) Wellness (127,000) other adjustments (763,400) Expenditures - FY2015 Adopted Budget $ 567,304,500 Page 26

32 INTRODUCTORY SECTION EXECUTIVE SUMMARY KEY FACTORS AFFECTING BUDGET DEVELOPMENT Student membership is expected to be 58,867 at September 30, 2014, representing an anticipated increase of 150 students over actual September 30, 2013 membership or 473 over the projection for FY2014. The ADM projection at March 30, 2015, is 58,604. Operating fund revenue for FY2015 is projected to increase 6.1% over the FY2014 approved budget, or $32.8 million. This increase includes changes to our fee schedules increasing facilities rentals and driver education, and instituting a fee for middle school chromebooks. State revenue will increase nearly $17 million, primarily the result of rebenchmarking in the first year of the biennium. A projected increase of 150 students for FY2015 will add to the state aid increase. The county s general fund transfer is also expected to provide a substantial increase at $14.3 million. Instruction continues to receive the majority of funding in the operating budget at more than 70%, with 10% to operations and maintenance, 8% to debt, 6% to transportation, less than 4% to administration, attendance and health and 2% to technology. The Virginia Retirement system rate for FY2015 is 15.56%, an increase of 2.8 percentage points over FY2014 at an additional cost of $7.6 million for the operating fund. For FY2013, the General Assembly also enacted legislation requiring employers to discontinue paying the employee share of the VRS contribution. In that year, began phasing in this legislation by requiring employees to pay an additional 1 percent of the contribution to a maximum of five percent. For FY2014, the School Board made the decision to require employees to pay the remaining 4 percent rather than phasing it in over the next four years. This requirement was offset by an additional salary increase for current employees in both years. Employees new to CCPS as of July 1, 2012 and beyond will pay the full 5% employee share immediately with no offset available. The base pupil-teacher ratio (PTR) will remain at the FY2014 level -- 25:1 for elementary, 27:1 for middle schools, and 26:1 for high schools; however, an additional divisionwide reduction of 1 in the PTR will be applied to targeted schools and programs with the highest need. The cost of the reduction of 1 in PTR is $6.3 million and FTE. The FY2015 adopted budget includes a pay increase of 1% for all eligible employees scheduled to take effect July 1, 2014 at a cost of $3.8 million. It also includes the restoration ($375,000) of the previous reduction of 15 percent for athletic and academic supplements. Annualizing the January 1, 2014 salary increase and the 2014 calendar year costs for healthcare will cost an estimated $5.6 million. Significant contributions by the School Board for employee and retiree health insurance will continue into FY2015. The contribution to the Supplemental Retirement Plan will continue at the FY2014 level for all active employees as of June 30, The program was discontinued for all new employees beginning in FY2014. To insure full funding of accounts such as workers compensation, substitutes, homebound instruction, and transportation costs, $3.9 million has been included in the FY2015 budget. Capital funding for school bus replacements increases by $2.0 million in FY2015 as a result of the one time funding for this purpose. The Five-Year plan includes funding to continue to replace our aging fleet. Plans are well underway to open a second career and technical center in the fall of 2014 CTC@Hull. The renovated school building will also house the majority of our instructional staff. The incremental cost of staffing, materials and utilities is $1.5 million. Pay as you go funding, or the CIP Reserve Transfer, is cash to support capital improvement projects in lieu of incurring further debt for such projects, and has been limited in recent years as a result of budget reductions. The five year plan addresses the rebuilding of that funding source, beginning with $1.5 million for FY2015. The five year plan will build on that amount so that we can work toward the guideline of five percent of the county s general fund transfer or approximately $14.5 million in FY2019. Student growth, measured budget to budget at 473 students and 9/30/13 actual membership to adopted FY2015 budget at 150, will cost an estimated $1.4 million in additional teaching staff and materials. Continued full participation in the state s K-3 class size reduction program is funded at an additional cost of $935,000. Page 27

33 INTRODUCTORY SECTION EXECUTIVE SUMMARY Safety net funding will be increased by $343,000 in FY2015. The purpose of safety net funding is to support students who may be struggling academically and who require additional remediation or intervention efforts tailored to their areas of academic need. Safety net funding may be used to support before- or after-school remediation or additional intervention for individual students or small groups of students. Equipment for the anywhere, anytime learning initiative (blended learning) is funded in the Capital Improvement Plan and is scheduled to begin in the fall of 2014 when middle school students will receive laptop computers (Chromebooks). High school students are scheduled to receive these devices in the fall of This will address the goals of the Design of Excellence 2020 strategic plan by providing students daily access to technology. An additional $100,000 has been included in the FY2015 budget for increased bandwidth to support this initiative. As part of the Board s efforts to create additional efficiencies and maximize funding for instruction, CCPS will embark upon a plan to begin the outsourcing of custodial services in FY2015. This plan will save about $1.5 million in FY2015. At the same time, the warehousing function has been downsized to include only essential functions such as supplying of classroom furniture and providing interoffice and US mail service. This change saved the school division approximately $500,000. There are a number of relatively small reductions included to balance the FY2015 adopted budget. First, debt service payments will decline slightly in FY2015, about $500,000. A reduction in county services of about $290,000 is all but offset by an increase in comprehensive services. The planned building lease payments for current administrative space (IDC) for the instructional staff has been reduced to reflect the relocation to office space in the new career and technical center ($188,000). There is also a reduction in the wellness budget of $127,000 to offset the loss of gainsharing revenue following the divisionwide move to a self insured healthcare plan. A reduction in special education instructional assistants yields another savings of $208,000. There are other numerous technical adjustments across the division for another savings of about $415,000 when taking into account the increase in fund balance of $525,000 for unanticipated contingencies that may materialize during the year. The operating fund also includes an unfunded line item (both in revenues and expenditures) of $586,500 to account primarily for changes in state revenue that occurred after the county had adopted its budget as well as the appropriations for the school division. These line items will insure an appropriate upper limit on actual expenditures and will be adjusted during the budget year to reflect any further changes in revenue that might occur. Grant funding will decline overall by $2.2 million from the FY2014 adopted budget. This is the result of a loss of several grants including the Teaching American History grant and reductions in other grant estimates from FY2014 to more closely match the actual awards from FY2014. The food service funds will increase over the FY2014 budget by nearly $900,000. Capital improvements at a number of school cafeterias as well as the addition of food service at the new career and technical center (scheduled to open in September 2014) accounts for the majority of this increase. Page 28

34 INTRODUCTORY SECTION EXECUTIVE SUMMARY SIGNIFICANT TRENDS AND INITIATIVES OPERATING REVENUE - % CHANGE OVER TIME: 8.0% 6.0% 4.0% 2.0% 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% The operating fund experienced a significant downturn in revenue in the years following FY2009 as the recession settled in and the ensuing recovery was slow to take hold. As one can see in the chart above, this had a serious impact on the budgets over the next 5 years. FY2015 is the first year in the past six years in which CCPS could begin to make strides toward rebuilding, given the reductions in revenue and slow growth afterward coupled with mandated expenditure increases such as the rate for the Virginia Retirement System, an increase in the number of health care participants, and increases in the cost of county-provided services. ENROLLMENT HISTORY & PROJECTIONS: 65,000 60,000 55,000 50,000 45,000 40,000 35,000 Student enrollment showed significant increases year to year (over 1,000 per year) during most of the 1980s with continued strong growth during much of the 1990s and early 2000s. It began to level off around 2008 including two losses in the total number of students around the second decade of the century. Beginning with FY2013, enrollment is starting to increase slightly, though, certainly not at the levels of the 1980s and 90s. Projections show this trend will continue for the forseeable future. Page 29

35 INTRODUCTORY SECTION EXECUTIVE SUMMARY PER PUPIL EXPENDITURE ADOPTED BUDGET BY FISCAL YEAR: 9,800 9,600 9,400 9,200 9,000 8,800 8,600 8,400 8,200 8,000 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 The per pupil expenditure began to decline after FY2009 as the recession took hold. There have been modest gains since FY2011, however, much of the additional funding has been applied to fixed costs or mandates that did not directly further student instruction. While the estimated per pupil expenditure for FY2015 nearly equals that in FY2009, Chesterfield continues to rank in the bottom 7 percent of Virginia s school districts with regard to the amount spent per student. NUMBER OF TEACHING STAFF BY YEAR: 4,100 4,050 4,000 3,950 3,900 3,850 3,800 3,750 3,700 3,650 3,600 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 Teaching staff (as well as a number of other staff) was reduced significantly in FY2010 and FY2011, with an increase of 1 in the student/teacher ratio taking place in FY2011. In FY2015, for the first time in five years, CCPS is in a position to not only address student growth, but to begin to address the need for lower student/teacher ratios and expanded electives as well with an overall reduction in the ratio of 1 for FY2015. The five year plan includes funding to further reduce student/-teacher ratio over the period. BENEFIT CHANGES: Beginning in January of 2014, the County and Schools converted its health care benefit to a self insured model and began offering a plan with a health savings account to address ever rising health care costs. In addition, the state overhauled the Virginia Retirement system to lower employer costs over time. School divisions were given five years to phase out the payment of the employee share into the plan. Chesterfield elected to turn those payments over to employees completely in FY2014, which will lower our per employee payments over time. Page 30

36 INTRODUCTORY SECTION EXECUTIVE SUMMARY OUTSOURCING: For FY2015, the School Board has eliminated much of its warehousing function and will begin outsourcing custodial services at eight of its school locations. These efforts to create additional efficiencies and maximize funding for instruction are expected to save about $2.0 million in FY2015. Also in FY2015, Chesterfield County Schools will begin to explore energy performance contracts (ESCOs) as a way to generate additional savings in the coming years through energy conservation. BLENDED LEARNING: The largest portion of the blended learning initiative is being funded from the Capital Improvement Program. For FY2015, Chromebooks will be issued to all middle school students with high schools to follow in FY2016. defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. This approach allows teachers to use technology for instruction and student evaluation. Teachers can receive real-time feedback on student performance, and students can learn individually at their own pace. By combining technology and traditional best practices, instruction can be differentiated to meet individual student needs. Instantaneous feedback and individualized instruction will also empower students to take ownership of their learning. BUS REPLACEMENTS: The economic downturn beginning in FY2010 has a serious negative impact on our ability to purchase replacement buses. More than one-third of our active bus fleet (607 buses) is 15 years old or older. With funding of $2 million in FY2015, CCPS will be able to purchase twenty-three replacement buses. Two of these will be propane buses, an experimental step toward a cleaner, more costeffective, and more maintenance-friendly fleet. The five year plan addresses further bus replacements over the next several years. SCHOOL REVITALIZATION: In November, 2014, voters approved, by a margin of nearly 72%, a school revitalization program that will either replace or completely renovate nine of our schools most in need. These are the schools addressed in the recently adopted capital improvement plan: Providence Middle, Monacan High, Manchester Middle, and these elementary schools: Beulah, Enon, Matoaca, Harrrowgate, Reams, Crestwood, and Ettrick. The plan will also provide one new elementary school to relieve overcrowding in the northern section of the county as well as renovations to the central office administrative space so that it can remain a viable workspace. Page 31

37 INTRODUCTORY SECTION EXECUTIVE SUMMARY Informational Component FIVE-YEAR PLAN OPERATING FUND The 5-year plan is intended to build on the FY2015 budget using various revenue and expenditure assumptions to create a roadmap for the foreseeable future. The county s contribution to school operations is projected at 2-3% growth, while state funding is projected at a slightly lower growth rate on a biennial basis. Most importantly, this plan reduces the dependence on one-time funding that has been relied upon over the last few recovery years. On the expenditure side, cost requirements such as benefit rate increases and student growth are recognized, as well as modest increases for program enhancements such as additional teachers for further student-teacher ratio reduction and further bus replacements. While the out years are not projected to be balanced at this time, the variances are much more manageable that what has been experienced over the past few years. The five year plan was developed for the operating fund only. The grants and food service funds are anticipated to remain stable with food services changing in response to changes in student membership only, with no more new schools on the horizon for the scope of this plan. FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 Local (inc. $1M reserve) 10,899,700 11,459,700 11,459,700 11,459,700 11,459,700 11,459,700 County - Recurring 247,767, ,879, ,506, ,617, ,181, ,646,600 County - One - Time Capital 2,000,000 2,000,000-3,650,000 1,200,000 County - Addtl recurring (PTR) 3,895,400 3,895,400 3,895,400 3,895,400 3,895,400 3,895,400 Prior Year savings 5,883,700 5,000,000 3,500,000 2,000,000 2,000,000 1,000,000 State 238,220, ,860, ,647, ,287, ,288, ,054,000 Sales Tax (2.5% increase per year) 58,248,300 59,704,500 61,197,100 62,727,000 64,295,200 65,902,600 Federal 390, , , , , ,000 Projected Funds Available 567,304, ,190, ,595, ,026, ,709, ,348,300 Base 567,304, ,976, ,862, ,348, ,787,700 Required expenditure increases: Annualizing Healthcare Costs 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 VRS Rate Change - 3,671,300-5,204,300 - Salary Increase (COLA - est. 1% annually) 4,000,000 4,100,000 4,200,000 4,300,000 4,400,000 Student Growth 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 Debt Service 1,247,700 3,265,700 1,095,100 (708,200) - ESCO savings (560,000) (1,450,800) (109,100) (657,300) Pay as you go Reserve 1,984,400 3,300,000 3,300,000 3,300,000 - Baseline Expenditure Increase 9,672,100 15,886,200 11,486,000 14,438,800 7,400,000 Baseline Subtotal 567,304, ,976, ,862, ,348, ,787, ,187,700 Baseline (Deficit)/Surplus (786,700) (3,267,100) (1,322,400) 1,921,900 3,160,600 Support for College Career Readiness/PTR Reduction/Competitive Salaries/Transportation Targeted PTR Reductions Across the Division 1,567,000 1,567,000 1,567,000 1,567,000 1,567,000 Remediation and enrichment support 500, College and Career Readiness - 220, Professional development , Bus Replacements 250, , Total (Deficit)/Surplus (3,103,700) (5,304,100) (3,474,400) 354,900 1,593,600 Page 32

38 INTRODUCTORY SECTION EXECUTIVE SUMMARY ENROLLMENT HISTORY AND FORECAST SEPTEMBER 30 MEMBERSHIP HISTORY Year Elementary Elem Middle Middle High High Total Total Growth ,053 9,058 10,302 34, , , , ,779 1, , , , ,935 1, ,145 1,430 8, , ,847 1, ,446 1,301 8, , ,435 1, ,489 1,043 9, , ,557 1, ,628 1,139 9, , ,967 1, , , , ,480 1, , , , ,691 1, , , , ,001 1, , , , , , , , , , , , ,057 1, , , , , , , , , , , , , , , , , , , , , , , , ,376 1, , , , ,545 1, , , , ,793 1, , , , , , , , ,750 1, , , , ,930 1, , , , , , , , , , , , , , , , , , , , , , , , , , , , , Page 33

39 INTRODUCTORY SECTION EXECUTIVE SUMMARY TOTAL ENROLLMENT 65,000 60,000 55,000 50,000 45,000 40,000 35,000 ENROLLMENT BY LEVEL 30,000 Elementary Middle High 25,000 20,000 15,000 10,000 5,000 0 Page 34

40 INTRODUCTORY SECTION EXECUTIVE SUMMARY STUDENT ENROLLMENT PROJECTION METHODOLOGY Membership projections are calculated annually and are based on the September 30 membership. Several projection models are used to calculate annual projections. The basis of the models is the Cohort Survival Model (CSM). The CSM is as an enrollment projection method which essentially compares the number of students in a particular grade to the number of students in the previous grade during the previous year. Ratios are computed for each grade progression and are then used to project future enrollments. The ratio indicates whether a change in the number of students is indicative of enrollment that is stable, increasing, or decreasing. A ratio of one indicates stable enrollment, less than one indicates declining enrollment, while greater than one indicates increasing enrollment. If, for example, a school district had 100 fourth graders and the next year only has 95 fifth graders, the CSR would be The projections are first computed districtwide by grade level using two models, the DeJong Projection Model and the K-12 Enrollment Projection Model. The DeJong Model calculates three projections, low, moderate and high. Given information that staff has on live births, housing trends, zoning cases and certificates of occupancy, a low, moderate or high projection is selected. This number is then compared to the K-12 Enrollment Projection Model to determine the best possible projection. Individual school enrollment projections are then calculated by grade level based on the K-12 Enrollment Projection Model. The final numbers are then compared to the districtwide number and adjusted based on a thorough knowledge of each school zone. In addition, the membership data is geocoded to the county s GIS (Geographic Information System, ArcMap). The student data is then analyzed by school assignment and compared to historical data to determine where growth and decline have occurred. Page 35

41 INTRODUCTORY SECTION EXECUTIVE SUMMARY RESOURCE ALLOCATIONS The charts below provide information regarding the numbers of adopted FTE positions for FY2015 by fund and a comparison to the FY2014 adopted position level. The FY2015 adopted budget not only addresses student growth, but provides for a reduction in the student/teacher ratio divisionwide, complies with state requirements for programs such as the K-3 class size reduction and provides additional school choice options for students with the planned opening of a second career and technical center in the fall of For the operating fund, the remainders of the changes or increases in FTE positions represent support necessary for existing students and/or new students projected to attend our schools in the fall of FY2011 FY2012 FY2013 FY2014 FY2015 All Funds Actual Actual Actual Adopted Adopted Difference FTE FTE FTE FTE FTE FTE Full Time Positions 7, , , , , Part Time Positions TOTAL ALL POSITIONS 7, , , , , FY2011 FY2012 FY2013 FY2014 FY2015 Operating Fund Actual Actual Actual Adopted Adopted Difference FTE FTE FTE FTE FTE FTE Full Time Positions 6, , , , , Part Time Positions Total All Positions 7, , , , , FY2011 FY2012 FY2013 FY2014 FY2015 Grants Fund Actual Actual Actual Adopted Adopted Difference FTE FTE FTE FTE FTE FTE Full Time Positions Part Time Positions Total All Positions FY2011 FY2012 FY2013 FY2014 FY2015 Federal Food Service Fund Actual Actual Actual Adopted Adopted Difference FTE FTE FTE FTE FTE FTE Full Time Positions Part Time Positions Total All Positions FY2011 FY2012 FY2013 FY2014 FY2015 Non-Federal Food Service Fund Actual Actual Actual Adopted Adopted Difference FTE FTE FTE FTE FTE FTE Full Time Positions Part Time Positions Total All Positions Page 36

42 INTRODUCTORY SECTION EXECUTIVE SUMMARY DEBT OBLIGATIONS Debt service provides the means to revitalize or replace existing facilities within the school division as well as provide resources to build new schools as enrollment growth warrants. Debt limits are set by the County s Board of Supervisors in an adopted policy and are not to exceed a threshold of 10% of the county and school division s combined budgets. Debt service is a long term commitment for the operating fund as the funds borrowed must be repaid over a term of typically 30 years with associated interest. While the chart below shows that CCPS level of debt payments will decline somewhat from FY2014 to FY2015, in the longer term, the 9-year capital improvement plan includes a revitalization plan for a number of schools as well as major maintenance and the technology plan. Debt service is expected to increase substantially as these projects get underway. The total debt obligation for FY2015 is $42,860,100. Debt levels are expected to increase by about 13% over the plan period from FY15 to FY18 and begin to level off or drop somewhat for the final year of the plan. Projected debt obligations will be adjusted as necessary during the budget process in each year of the plan. Debt Service FY FY2015 Comparison of Budgeted Payments FY14 FY14 FY15 FY15 Increase/ Adopted Adopted Adopted Adopted (Decrease) Bond Issues Principal/Interest Other Debt Principal/Interest Other Debt Total VPSA 1994A 433, (433,230) VPSA 1995A 867, ,667 - (44,828) VPSA 1995C 1,471,388-1,404,833 - (66,555) VPSA 2002B 1,719,739-1,660,257 - (59,482) VPSA ,982, (2,982,000) GO 2004A 7,482,200-4,513,951 - (2,968,249) GO 2005A 2,339,143-4,682,316-2,343, L/P Financial System 190, ,542 - (6,272) GO 2006A 3,536,474-3,410,508 - (125,966) 2006 L/P Financial System 157, ,053 - (6,035) GO 2007A 4,376,882-4,269,884 - (106,998) GO 2007B 843, , GO 2008A 5,001,779-4,898,952 - (102,827) GO 2009A 4,833,745-4,693,462 - (140,283) GO 2009B 435, ,889 - (22,158) VPSA ,441,879-1,414,011 - (27,868) VPSA 2012B 1,745,615-1,719,577 - (26,038) GO 2012B 2,823,948-4,898,548-2,074,600 VPSA 2013A 627,810-1,683,873-1,056,063 GO , ,200 Other Debt Expenditure: GO Bond Fees / Issuance Costs 10, , ,332 VPSA Bond Fees / Issuance Costs 40,478 10,000 (30,478) Totals 43,309,522 50,478 42,640, ,332 (499,900) 43,360,000 42,860,100 Summary of Change: Principal Payments decreased from FY14 to FY15 by $179,306; Interest Payments decreased from FY14 to FY15 by $489,448; Other Debt Service increased from FY14 to FY15 by $168,854; for a combined total decrease of $499,900. Page 37

43 INTRODUCTORY SECTION EXECUTIVE SUMMARY BENCHMARK DATA The following charts and graphs are intended to provide the reader a comparison of with neighboring school divisions in the Commonwealth as well as some others of similar size around the state. The data is taken from the state department of education website to insure a like comparison of the selected data. The bar graphs compare the school divisions in the most recent year available FY2013. TOTAL COST PER STUDENT COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield 9,587 9,369 8,772 8,755 9,276 Chesapeake 11,037 10,459 10,490 10,680 10,474 Hanover 9,711 9,252 8,899 9,166 9,137 Henrico 9,369 9,138 9,015 9,041 9,110 Norfolk 11,034 11,324 10,500 10,419 11,022 Prince William 10,687 10,298 10,079 10,380 10,449 Richmond 13,601 13,773 13,040 13,730 12,945 Stafford 9,531 9,399 9,858 9,751 9,971 Virginia Beach 11,020 10,706 10,772 10,876 10,832 State Average 1, ,020 10,793 10,969 11,257 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 FY2013 Total Cost Per Student Page 38

44 INTRODUCTORY SECTION EXECUTIVE SUMMARY LOCAL COST PER STUDENT COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield 3,811 3,704 3,680 3,556 4,018 Chesapeake 4,478 4,464 4,195 4,730 4,497 Hanover 4,443 4,245 4,118 4,300 4,290 Henrico 3,805 3,985 4,141 3,883 3,815 Norfolk 3,132 3,352 3,436 3,392 3,482 Prince William 4,915 4,698 4,622 4,812 4,776 Richmond 5,782 5,956 5,728 6,114 5,602 Stafford 4,050 4,714 4,284 4,331 4,521 Virginia Beach 4,789 4,891 5,167 5,172 5,237 State Average 5,504 5,423 5,371 5,549 5,777 STATE COST PER STUDENT COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield 4,542 3,779 3,532 3,631 3,764 Chesapeake 5,003 4,281 4,019 3,890 4,108 Hanover 4,053 3,387 3,151 3,250 3,464 Henrico 4,042 3,483 3,117 3,339 3,638 Norfolk 5,521 5,019 4,351 4,153 4,759 Prince William 4,444 3,773 3,765 3,999 4,218 Richmond 4,978 4,185 3,839 3,641 3,844 Stafford 4,191 3,193 3,589 3,750 3,921 Virginia Beach 4,459 3,700 3,469 3,489 3,600 State Average 4,175 3,509 3,375 3,420 3,652 SALES TAX COST PER STUDENT COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield Chesapeake Hanover Henrico Norfolk Prince William Richmond 1,192 1,157 1,218 1,153 1,009 Stafford Virginia Beach ,009 1, State Average Page 39

45 INTRODUCTORY SECTION EXECUTIVE SUMMARY FEDERAL FUNDS COST PER STUDENT COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield Chesapeake Hanover Henrico Norfolk 1,432 2,071 1,780 1,956 1,815 Prince William 512 1, Richmond 1,650 2,475 2,255 2,822 2,491 Stafford Virginia Beach 778 1,156 1,128 1,180 1,004 State Average 729 1,198 1,119 1, Source: Virginia Department of Education ( Page 40

46 INTRODUCTORY SECTION EXECUTIVE SUMMARY K-12 STUDENT/TEACHER RATIO COMPARISON School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield Chesapeake Hanover Henrico Norfolk Prince William Richmond Stafford Virginia Beach State Average N/A N/A FY2013 K-12 STUDENT/TEACHER RATIO COMPARISON Page 41

47 INTRODUCTORY SECTION EXECUTIVE SUMMARY # of Instructional Positions per 1000 in Average Daily Membership School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield Chesapeake Hanover Henrico Norfolk Prince William Richmond Stafford Virginia Beach State Average Source: Virginia Department of Education ( FY2013 # of Instructional Positions per Page 42

48 INTRODUCTORY SECTION EXECUTIVE SUMMARY Administrative, Service and Support Personnel Positions per 1000 in ADM School Division FY2009 FY2010 FY2011 FY2012 FY2013 Chesterfield Chesapeake Hanover Henrico Norfolk Prince William Richmond Stafford Virginia Beach State Average Source: Virginia Department of Education ( FY2013 Administrative, Service and Support Positions per Page 43

49 INTRODUCTORY SECTION EXECUTIVE SUMMARY PER PUPIL EXPENDITURES Virginia State code section requires the following: Upon preparing the estimate of the amount of money deemed to be needed during the next fiscal year for the support of the public schools of the school division, each division superintendent shall also prepare and distribute, within a reasonable time as prescribed by the Board of Education, notification of the estimated average per pupil cost for public education in the school division for the coming school year in accordance with the budget estimates provided to the local governing body or bodies. Such notification shall also include actual per pupil state and local education expenditures for the previous school year. The notice may also include federal funds expended for public education in the school division. STATE AVERAGE LOCAL DIVISION LOCAL DIVISION LOCAL DIVISION SOURCES OF FINANCIAL SUPPORT FY2013 Actual FY2013 Actual FY2014 Budget Adopted FY2015 Budget Adopted STATE FUNDS $ 3,652 $ 3,764 $ 3,817 $ 4,060 SALES & USE TAX FEDERAL FUNDS LOCAL FUNDS 5,777 4,018 3,890 4,078 TOTAL $ 11,257 $ 9,276 $ 9,271 $ 9,672 Page 44

50 INTRODUCTORY SECTION EXECUTIVE SUMMARY ESTIMATED REQUIRED LOCAL EFFORT Virginia State code section, Section requires the following: Upon approval of the school division s budget by the appropriating body, each school division shall publish the approved annual budget, including the estimated required local match, on its website and the document shall also be made available in hard copy as needed to citizens for inspection. Chesterfield County School Board Policy 7110 provides the same direction. FY2015 ESTIMATED REQUIRED LOCAL EFFORT SECTION 1: Qualifying Expenditures for Operations Total Budgeted Expenditures 666,182,000 (includes all appropriated funds, including operational and capital) (Less) Excluded Capital Expenditures: 1. Capital Outlay Additions (2,330,460) 2. Facilities - Capital Outlay Replacements (47,656,600) 3. Debt Service (42,860,100) (Less) School Nutrition Services (26,358,900) (Less) Excluded Intra-fund Transfers (1,868,700) (includes Operating Funds transfer to Grants and Transfer to County for Comprehensive Services) (Less) Excluded Inter-fund Transfers - Capital Purchased by Locality - (Less) Excluded Inter-fund Transfers - Transfer to Inter-Agency Fund (2,935,600) (includes Operating Funds transfer to CIP and Grants transfer to CIP) (Less) Excluded Programs (includes Summer Session, Adult Ed, Preschool, Head Start and Detention Home) (6,693,958) Total Excluded Expenditures (130,704,318) SECTION 2: Adjustment for State Funds (Less) Sales Tax (58,248,300) (Less) Other State Funds (240,033,683) (Less) Carry-Forward State Textbook Funds from Prior Year (858,371) (Less) Carry-Forward Other State Funds from Prior Year - Algebra Readiness (405,075) (Plus) State Funds Passed Through - Excluding Regional Programs - (Plus) State Funds Passed Through to Regional Alternative Education Programs - (Plus) State Funds Passed Through to Regional Governor's School 1,096,907 (Plus) State Funds Passed Through to Regional Career & Technical Education Center - (Plus) State Funds Passed Through to Regional Special Education Program - (Plus) Unspent State Textbook Funds - (Anticipated as of June 30, 2015) (Plus) Unspent other State Funds - (Plus) Sum of Capital Expenditures Paid from State Funds 58,520 (Plus) Sum of Debt Service Expenditures Paid from State Funds - Total Excluded State Revenues (298,390,002) SECTION 3: Adjustment for Federal Funds (Less) Federal Funds (30,234,461) (Less) Carry-Forward Federal Funds From Prior Year - (Plus) Unspent Federal Funds Page 45 -

51 INTRODUCTORY SECTION EXECUTIVE SUMMARY FY2015 ESTIMATED REQUIRED LOCAL EFFORT (continued) (Plus) Sum of Capital Expenditures Paid from Federal Funds 20, Total Excluded Federal Revenues (30,214,461) SECTION 4: Adjustment for Other Local Revenue (Less) Tuition and Other Payments from Another City or County (20,000) SECTION 5: Required Local Effort Net Local Expenditure for Operations: 206,853,219 Required Local Effort for SOQ Accounts: 122,478,419 Page 46

52 Organizational Section

53 ORGANIZATIONAL SECTION ORGANIZATIONAL SECTION The organizational section is intended to provide the reader with a clear understanding of the organizational structure of the school division, both from an overall management perspective as well as budgeting/accounting perspective. Also included here are the policies governing the finances of (including applicable county policies), a discussion of the budget process including important dates during the process, and the school division s strategic plan The Design for Excellence 2020 (DfE 2020). Page 47

54 ORGANIZATIONAL SECTION CHESTERFIELD COUNTY PUBLIC SCHOOLS OVERVIEW CCPS is governed by an elected School Board of five members serving concurrent four-year terms. The school division is fiscally dependent on the County of Chesterfield and does not have the authority to generate tax revenue nor incur debt. The Board establishes policy and direction for the system and hires the Superintendent, who implements policy and organizes and manages the staff to pursue the direction set by the Board. Two assistant superintendents and a chief academic officer assist the Superintendent in carrying out these responsibilities. Fiscally, the School Board approves a budget recommended by the Superintendent, which must be approved and funded by the local Board of Supervisors in its budget process for the entire county. CCPS educated more than 58,000 students in Student growth in the county has slowed over the past decade and projections suggest student membership will grow at a relatively slow pace for the foreseeable future. CCPS is a comprehensive K-12 environment. Our children are educated in 11 high schools, 12 middle schools, 38 elementary schools, and two career and technical education centers (2 nd center to open in September 2014). Page 48

55 ORGANIZATIONAL SECTION ORGANIZATION OF THE SCHOOL BOARD BY MAGISTERIAL DISTRICT Page 49

56 ORGANIZATIONAL SECTION STAFF ORGANIZATIONAL CHARTS Executive Staff Community Parents, Senior Citizens, Business Leaders, Other Patrons CHESTERFIELD COUNTY SCHOOL BOARD SCHOOL BOARD ATTORNEY SUPERINTENDENT OF SCHOOLS EXECUTIVE ASSISTANT & CLERK TO THE SCHOOL BOARD CHIEF EXECUTIVE TO THE SUPERINTENDENT DIRECTOR COMMUNITY RELATIONS ASSISTANT SUPERINTENDENT HUMAN RESOURCES & ADMINISTRATIVE SERVICES CHIEF ACADEMIC OFFICER ASSISTANT SUPERINTENDENT BUSINESS & FINANCE EXECUTIVE DIRECTOR TECHNOLOGY DIRECTOR RESEARCH AND DEVELOPMENT EXECUTIVE DIRECTOR DIRECTOR MANAGEMENT & BUDGET DIRECTOR HUMAN RESOURCES DIRECTOR HIGH SCHOOL EDUCATION DIRECTOR MIDDLE SCHOOL EDUCATION DIRECTOR FINANCE DIRECTOR COMPENSATION & BENEFITS DIRECTOR PROFESSIONAL DEVELOPMENT DIRECTOR ELEMENTARY EDUCATION (2) DIRECTOR PUPIL PLACEMENT/ STUDENT CONDUCT EXECUTIVE PRINCIPAL CAREER & TECHNICAL EDUCATION DIRECTOR FOOD SERVICE DIRECTOR STUDENT TRANSPORTATION DIRECTOR EXCEPTIONAL EDUCATION DIRECTOR DIRECTOR CURRICULUM & INSTRUCTION FACILITIES Page 50

57 ORGANIZATIONAL SECTION Office of the Superintendent SUPERINTENDENT Dr. Marcus Newsome CHIEF EXECUTIVE TO THE SUPERINTENDENT Dr. Sharon Thomas DIRECTOR COMMUNITY RELATIONS Tim Bullis ADMINISTRATOR COMMUNITIES IN SCHOOLS ASSISTANT DIRECTOR SCHOOL BUSINESS PARTNERSHIP SPECIALIST Shawn Smith SAFETY & SECURITY MANAGER PRINT SHOP SUPERVISOR COMMUNITY RELATIONS OFFICER COMMUNITY OUTREACH COORDINATOR GRAPHIC DESIGN/WEB SPECIALIST Page 51

58 ORGANIZATIONAL SECTION Department of Instruction Chief Academic Officer Donna Dalton EXECUTIVE DIRECTOR SCHOOL ADMINISTRATION DIRECTOR EXCEPTIONAL EDUCATION DIRECTOR CURRICULUM & INSTRUCTION Dr. Beth Teigen Dr. Michael Asip Stacey Austin DIRECTOR ELEMENTARY SCHOOLS DIRECTOR ELEMENTARY SCHOOLS Assistant Director Assistant Director Dr. Cyndee Blount Linda Wood Dr. Benjamin Lewis Ernie Longworth Elem Schools (19) Psychological Services Positive Behavior DIRECTOR MIDDLE SCHOOLS Sharon Pope Clinic Assistant Coordinators DIRECTOR STUDENT CONDUCT/PUPIL PLACEMENT Elem Schools (19) ESOL Head Start Title One DIRECTOR HIGH SCHOOLS Dr. Joseph Tylus School Counseling Services Home Instruction Alternative Education Special Education Teams Speech Therapy Occupational Therapy Physical Therapy Hearing/Vision Impaired Special Education Nurses Assistive Technology Early Childhood Special Ed CSIT/Pre referral Parent Resource Center Homebound Instruction Medicaid Coordinator On Line Learning Elementary Language Arts Secondary Language Arts Gifted Education Library Mathematics Performing Arts Health/PE/Driver Ed/FLE Science World Languages Social Studies Visual Arts Summer School Kindergarten Robert Talley Social Work Services EXECUTIVE PRINCIPAL CAREER & TECHNICAL EDUCATION Dr. David Eshelman Principal Continuing Education Page 52

59 ORGANIZATIONAL SECTION Department of Business & Finance ASSISTANT SUPERINTENDENT Andy Hawkins DIRECTOR FACILITIES Wayne Kitchen DIRECTOR MANAGEMENT & BUDGET Susan Newton DIRECTOR STUDENT TRANSPORTATION Dr. Robert Wingfield DIRECTOR FOOD & NUTRITION Warren Grigg DIRECTOR FINANCE Robert Aylor Planning Administrator Capital Projects Division Manager Assistant Director Facilities Services Cheryl Moss Sr. Programmer Analyst Sr. Budget Analyst Assistant Director Therese Steele Assistant Director Jonathan Miller Assistant Director Debra Harris Construction Coordinators (2) Assistant Director Facilities Services Scott Tucker Budget Analysts (4) Budget Technician Field Supervisors (6) AP/AR Lead Accountants(2) Payroll Lead Accountants (2) Construction Specialists (5) Assistant Director Facilities Services Jim Eyerly Lead Accountant Accountant & Account Sr. Financial Com p. & Security Officer Accountants (3) Fiscal Tech III (3) Fiscal Tech II (2) Assistant Director Facilities Services Earl Fisher Operations Analyst Vending Machine Tech Sr. Programmer Analyst Accountants (2) Assistant Director Facilities Services Fiscal Tech III Brian Pence Program Tech I Assistant Director Facilities Services David Simmons Admin Environmental Health & Safety Page 53

60 ORGANIZATIONAL SECTION Human Resources & Administrative Services ASSISTANT SUPERINTENDENT Dr. Lyle Evans Administrative Asst Sr. Sharon Whitlock DIRECTOR HUMAN RESOURCES Francine Bouldin DIRECTOR COMP EN SATION & BENEFITS Kim Carter DIRECTOR PROFESSIONAL DEVELOPMENT Harold Saunders EXECUTIVE DIRECTOR TECHNOLOGY Dr. Adam Seldow Director Research & Evaluation Dr. Nancy Hoover Assistant Director Assistant Director Assistant Director Phil Sword Dr. Michelle Beavers Brian Jones HR Administrators Recruitment (4) Benefits Administrators (2) Integration Specialist Mgr School Technology Support Evaluation Specialist HR Administrator Licensure HRIS Supervisor Compensation Administrator Wellness Coordinator Comp & Benefits Analyst Training Specialist T Leader in Residence Mgr Tech Integration & Instruction Mgr School Database Services Mgr Network Manager School Improvement (2) Research Specialist Sr. Programmer Analyst Sr. Programmer Analyst Manager, Professional Development Online Learning Training Dev. Specialist Page 54

61 ORGANIZATIONAL SECTION DESIGN FOR EXCELLENCE 2020 The Design for Excellence 2020, the strategic plan for, prepares students for success in the 21st century and guides the daily work of the school division. CCPS is a comprehensive K-12 environment.. start to finish. Page 55

62 ORGANIZATIONAL SECTION Background DESIGN FOR EXCELLENCE 2020 The original Design for Excellence was adopted in December 2007, then modified in June 2008 and June That plan contained five goals addressing student goals and employee goals. The new Design for Excellence 2020 continues to address expectations for students and employees in accordance with Virginia Standards of Quality, Goals in the Design for Excellence 2020 state the School Board s expectations for achievement outcomes for all students in three areas: knowledge, skills and values. Subgoals specify what students should know and be able to do in the disciplines and reflect the skills and attitudes required by the state as well as School Board and community expectations. The goals and subgoals are designed to lead to the fulfillment of the mission and vision. Goals and subgoals were identified through an innovation team process. Innovation teams included community members, parents, teachers, administrators, students and other interested citizens. Teams analyzed future trends and reviewed the system s key measures of success. Innovation teams met weekly to analyze the current performance of students, community expectations, legal requirements and future needs. Finally, the innovation teams drafted goals and subgoals. School Board officials and community members commented on the proposals, which were revised before being adopted June 28. The goals and subgoals are the primary focus of the Design for Excellence School system staff members are now reviewing and modifying key measures of success to provide accountability for the goals and subgoals. Here are the vision, mission, goals, subgoals and guiding principles adopted in spring 2011 by the Chesterfield County School Board: Vision will provide an engaging and relevant education that prepares every student to adapt and thrive in a rapidly changing world. Mission, in partnership with students, families and communities, emphasizes and supports high levels of achievement through a global education for all, with options and opportunities to meet the diverse needs and interests of individual students. Goals and Subgoals Goal 1: All learners will acquire, analyze, synthesize and evaluate information to solve meaningful problems and to achieve success as productive, thriving global citizens. Students will learn through active engagement, collaboration and exploration of personal interests, talents and ambitions across disciplines. Student learning and achievement will be measured and reported using clearly defined standards and performance assessments that measure student progress toward personalized learning goals. 1.1 Learners will develop into independent, strategic readers, writers, thinkers and communicators across all fields of study, using diverse formats and media. 1.2 Learners will understand science, technology, engineering and mathematics as integrated fields of study that emphasize questioning and inquiry, develop analytical thinking and focus on problem-solving and design. 1.3 Learners will experience an interdisciplinary approach to the study of social sciences to become productive world citizens and gain an understanding of the interdependence and interrelationships of cultures. 1.4 Learners will be prepared to effectively communicate and interact in a multicultural, multilingual world. 1.5 Learners will develop their unique talents or interests in the arts for integration into all fields of study. 1.6 Learners will make healthy lifestyle choices and maintain a mentally healthy and physically active lifestyle that sustains and promotes personal, family and community health. 1.7 Learners will explore career opportunities, develop workplace readiness skills, understand personal finance, appreciate technical and business education and value initiative and engage in innovation. Goal 2: All learners will demonstrate the 21st-century learning and technology skills and knowledge that will prepare them for success in school, postsecondary education, work and life in a global society. 2.1 Learners will apply knowledge across disciplines to investigate and solve real-world problems. 2.2 Learners will understand and apply 21st-century interdisciplinary themes that are vital to success in communities and the workplace. These themes include digital-age literacy Page 56 inventive thinking communication and collaboration

63 ORGANIZATIONAL SECTION global connections 2.3 Learners will ethically use 21st-century tools to develop skills essential to everyday life and workplace technology, including the abilities to think and problem solve. Goal 3: Working in partnership with school and family, all learners will understand, model and embrace the important attitudes and attributes necessary to be responsible global citizens. 3.1 Learners will initiate, engage in and celebrate service, volunteerism and the spirit of giving in order to become responsible citizens and servant leaders in their school, community, country and world 3.2 Learners will make positive contributions to their schools, families, work and the greater diverse global community through opportunities provided by business and community partnerships. 3.3 Learners will develop characteristics and practice duties and responsibilities of citizenship and the core values of respect, responsibility, honesty and accountability. Guiding Principles for Employees Guiding Principle: Student Engagement Learning is our core purpose. General Expectations Members of the community work together to encourage and develop high student engagement with the curriculum. Positive relationships between student and teacher increase student motivation and engagement. It is primarily the teacher s responsibility to engage students using systematic teaching strategies. Schoolwide initiatives promote student engagement by creating a culture involving students in school activities and their classroom work. Parents and others also influence student engagement by their expectations of students. Preconditions for student engagement include a student-teacher relationship based on a teacher who takes an interest in students and cares that they learn. Preconditions also include a stimulating and comfortable classroom, positive core values instruction, classroom routines that are well taught and practiced and student mastery of basic technical and social skills. There are well-understood teaching strategies that support student engagement. These include high rigor and relevance, personalization of learning including well-differentiated instruction, active learning strategies and a focus on reading, including vocabulary and comprehension strategies. Reference: International Center for Leadership in Education Rigor and Relevance While achieving academic proficiency is an important goal toward achieving academic excellence and closing achievement gaps, it is only the starting line for students in. The ability for all students to learn in rigorous, relevant and real-world settings needs to be the finishing line. By teachers incorporating rigorous and relevant instruction and assessment, students will become highly engaged in learning, prepared for the future as 21st-century collaborators, communicators, creative thinkers and critical problem-solvers. During the 2009 Curriculum Academy, Chesterfield teachers and administrators were introduced to a model for rigor and relevance from the International Center for Leadership in Education. The center s rigor/relevance framework is a graphic tool that supports teachers in developing and teaching rigorous and relevant lessons and designing authentic assessments for students. Curriculum specialists in Chesterfield have used this tool to design highly rigorous and relevant lesson plans for teachers in all curriculum areas. To engage students in rigorous and relevant lessons, all Chesterfield teachers must first understand the two dimensions of the framework rigor and relevance as defined by the International Center for Leadership in Education: Rigor refers to academic rigor learning in which students demonstrate a comprehensive, in-depth mastery of challenging tasks to develop cognitive skills through reflective thought, analysis, problem-solving, evaluation or creativity. Rigorous learning can occur at any school grade and in any subject. Relevance refers to learning in which students apply core knowledge, concepts or skills to solve real-world problems. Relevant learning is interdisciplinary and contextual. Student work can range from routine to complex at any school grade and in any subject. Relevant learning is created, for example, through authentic problems or tasks, simulation, service learning, connecting concepts to current issues and teaching others. The rigor/relevance framework is a tool developed for teachers to design engaging curriculum, plan for instruction and develop authentic assessments. The rigor/relevance framework is based on the two dimensions of rigor/critical thinking (vertical dimension) and relevance (horizontal dimension): Page 57

64 ORGANIZATIONAL SECTION The vertical dimension represents the knowledge taxonomy, a continuum based on Bloom s taxonomy, which describes the increasingly complex ways in which students think: Level 1: knowledge or awareness Level 2: comprehension Level 3: application Level 4: analysis Level 5: synthesis Level 6: evaluation The low end involves acquiring knowledge and being able to recall or locate basic knowledge. The high end labels the more complex ways in which individuals use knowledge, such as taking several pieces of knowledge and combining them in both logical and creative ways. The horizontal continuum, known as the application model, is one of action. The five levels describe putting knowledge to use. While the low end is knowledge acquired for its own sake, the high end signifies using that knowledge to solve complex, relevant, real-world problems and to create unique projects, designs and other works for use in real-world situations. The rigor/relevance framework defined by the International Center for Leadership in Education has four quadrants. Each is labeled with a term that characterizes the learning or student performance at that level: Quadrant A: When instruction and expected student learning is in quadrant A, the focus is on teacher work. Teachers expend energy to create and assess learning activities providing lesson content, creating worksheets and grading student work. In this scenario, the student is a passive learner. Students gather and store bits of information and are primarily expected to remember or understand this acquired knowledge. Quadrant B: When instruction and expected learning move to quadrant B, the emphasis is on the student doing real-world work. This work involves more real-world tasks than quadrant A and generally takes more time for students to complete. Students use acquired knowledge to solve problems, design solutions and complete work. The highest level of application is to apply appropriate knowledge to new and unpredictable situations. Page 58

65 ORGANIZATIONAL SECTION Quadrant C: When instruction and expected learning falls in quadrant C, the student is required to think in complex ways to analyze, compare, create and evaluate. Students extend and refine their knowledge so that they can use that knowledge automatically and routinely to analyze and solve problems and create solutions. Quadrant D: Learning in quadrant D is demanding and requires the student to think and work. Roles have shifted from teachercentered instruction in quadrant A to student-centered learning. Quadrant D requires that students understand the standards being taught but, equally important, also requires that they understand and conceptualize relevant applications for the content being covered. Students have the competence to think in complex ways and apply knowledge and skills that they have acquired. Even when confronted with perplexing unknowns, students are able to use extensive knowledge and skills to create solutions and take action that further develops their skills and knowledge. Instruction in highly successful schools enables students to know what to do when they don t know what to do. To gain that competence, students need to acquire depth of knowledge and a rich set of skills, then be taught how to apply their skills/knowledge to unpredictable situations in the world beyond school. All teachers can use the rigor/relevance framework when planning and designing instruction. Teachers are encouraged to use these best practices to engage students in more rigorous and relevant instruction and engage students in quadrant D learning: Brainstorming stimulates thinking and allows students to generate vast amounts of information, then sort that information in an engaging learning process. Community service involves learning opportunities in which students do unpaid work that adds value to the community. Compare-and-contrast learning activities require analysis to identify similarities and differences. Cooperative learning places students in structured groups to solve problems by working cooperatively. Creative arts are artistic products or performances that can also be used to develop skills in other curriculum areas. Demonstration involves direct observation of physical tasks, such as the manipulation of materials and objects. Games are exciting, structured activities that engage students in individual or group competition to demonstrate knowledge or complete an academic task. Group discussion is any type of verbal dialogue among students used to explore ideas related to an instructional topic. Inquiry engages students in posing questions around an intriguing investigation, making observations and discussing them. Instructional technology means a multimedia computer application that provides a choice of learning paths and enables tailoring of programs to student questions or interests. Internship is a formal placement in an employment situation for additional learning while the student is still in school. Literature is reading to discover use of language, acquire information about people, history, cultures and society and develop skills of analysis, inquiry, logic and recall. Note-taking/graphic organizers involve organizing logical notes for reference and using graphics, diagrams and symbols to represent information. Presentations/exhibitions are oral presentations by students requiring them to organize ideas and express them in their own words. Problem-based learning introduces concepts through use of problem-solving skills on a real problem or investigation. Project design requires students to integrate their skills and knowledge to create their own literary, technological or artistic work, as individuals or in a group. Research means students locate and retrieve information from several sources, such as library references, textbooks, other individuals and electronic databases via the Internet. Simulation/role playing replicates the way skill or knowledge is used outside school, ranging from role playing to computergenerated reality. Socratic seminar combines the elements of teacher questions, inquiry and discussion around key topics, with the teacher asking probing questions as needed. Page 59

66 ORGANIZATIONAL SECTION Teacher questions stimulate significant student thinking in response to thoughtful queries about connections with new information. Writing makes students organize their knowledge and reinforces concepts in any form from a one-paragraph test question response to a multipage research report. Although each strategy is described separately, the strategies are rarely used independently. When creating instructional units or lessons, teachers may select several strategies. Quadrant A, B, C and D lessons have been developed to support the Standards of Learning and can be found throughout the school system s curriculum frameworks available here: curriculum frameworks. Relationships Students do their best work when they feel that teachers have an interest in them or care about their future. All of the characteristics that we know about building relationships are essential to contributing to highly engaged, rigorous and relevant instruction. Each student brings a unique set of characteristics to the classroom: different background knowledge, a unique learning style, a variety of interests and varied parental support and expectations. Students show increased effort in classroom activities when teachers take an interest in students as individuals, get to know them by name and talk with them not only in the classroom but also during other activities in the school. When students fail in the classroom, it is often the lack of personalizing learning that is the source of failure. There are many differentiated practices and strategies that contribute to overall personalization. Teachers can create more engaging classrooms by getting to know their students and using examples during instruction that relate to students backgrounds, cultures and experiences. As learning becomes more personalized, students will make connections to the learning and teachers will become facilitators in supporting learning. The core values of respect, responsibility, honesty and accountability offer a framework for building the strong positive relationships that are vital to the education process. Students are more likely to make a personal commitment to engage in rigorous learning when they know teachers, administrators, parents and other students care about how well they do. Students are willing to continue making the investment when they are encouraged, supported and assisted. Building good relationships complements rigor and relevance. For students to engage fully in challenging learning, they must have increased levels of support from the people around them. (Jones, 2008) Printed with permission from the International Center for Leadership in Education Guiding Principle: Community of Learners Effective teaching is the most essential factor in student learning, and effective leaders support learning. General Expectations is a community of learners committed to providing a sound and challenging learning environment for all employees and students, regardless of sex, race, color, age, religion, disability, national origin or socioeconomic status. A community of learners requires data analysis, professional learning communities built around the needs indicated by the data analysis, professional growth and performance plans to support the needs of adult learners, professional development designed to support the process, leadership development and cultural competence to ensure that everyone has a voice. Data Analysis A community of learners begins by thoroughly analyzing student achievement data broken into subgroups. For schools, in addition to looking at tests that indicate how well students know the material and comparing student scores, this involves teacher-made tests, diagnostic assessments, assignments, portfolios, grade retention, high school completion, reports of disciplinary actions, enrollment in advanced courses, performance tasks, participation in postsecondary education and other evidence of student learning. Data on individual tests can be analyzed to learn how far students advanced in one year as well as particular strengths and weaknesses associated with the focus of the test. These data are typically evaluated to show differences in learning among subgroups of students. The analysis of student achievement data helps monitor progress for individuals, subgroups, schools and the school division. The goal is to continuously improve student achievement. Further analysis of student achievement results strengths and weaknesses helps determine adult learning priorities. Data analysis in schools and departments involves evaluating information that is related to actions, goals and strategies and the extent to which schools and departments have successfully completed annual goals and expectations. Needs identified from the data analysis help determine professional growth goals, professional learning community strategies and professional development needs. Professional Learning Communities Professional learning communities are built around the needs identified through data analysis and the goals of schools, departments and the school division. Small groups of educators, school system employees and community members work together in professional learning communities to improve teaching and learning or to meet the goals and strategies of individual departments, schools or the school system. In professional learning communities, individuals learn in supportive, reflective communities of colleagues. The learning is deeper, more complex and more meaningful because it is based on the actual results and actions of the participants. Learning is concrete and specific, rather than abstract and theoretical. In professional learning communities, participants are engaged in job-embedded, results-driven, standards-based learning built on a shared vision of educational excellence and high achievement. Page 60

67 ORGANIZATIONAL SECTION Professional Growth and Performance Plans Professional Growth and Performance Plans form the foundation of a system to annually evaluate employees at every level. The plans include professional growth and performance evaluation, providing an opportunity for employees to self-evaluate and make suggestions for their own professional development. The plan is driven by departmental goals, individual needs and student learning needs. There are four Professional Growth and Performance Plan formats: The Professional Growth and Performance Plan for Teachers (PGPP-T) outlines a process that acknowledges and accepts developmental differences among teachers, encourages positive change and supports improving teaching and learning. The professional growth component outlines an annual process for all teachers and is based on student academic progress, the school improvement plan, a reflection on performance standards and their indicators and the teacher s previous performance evaluation results. The performance evaluation component consists of a process for examining teacher performance according to seven standards. The Professional Growth and Performance Plan for Administrators (PGPP-A) meets mandates established by the Virginia legislature in the 1999 Educational Accountability and Quality Enhancement Act. The Professional Growth and Performance Plan is an annual process that provides structure for performance accountability and professional growth. The PGPP-A provides options for professional growth for administrators in different stages of experience or performance and promotes collaboration between administrators and their supervisors. It provides targeted assistance and support for administrators who need improvement. The Professional Growth and Performance Plan for Classified Employees (PGPP-C) provides an annual structure for professional growth and performance accountability. The PGPP-C differentiates needs based on experience and performance. The purpose is to establish a comprehensive system for developing, evaluating, retaining and recognizing high-quality classified staff members in all schools and offices. The Professional Growth and Performance Plan for Instructional Support Providers (PGPP-I) process links providers professional growth to their annual performance evaluation. Moreover, the process acknowledges that the employees need additional education and varied levels of supervision to improve student services. Key features guide instructional support providers in analyzing their performance and refining their practice through targeted professional development goals and opportunities. Information about each Professional Growth and Performance Plan is available here: PGPPs. Professional Development Professional development provides education and professional growth opportunities to enhance learning at all levels for employees of with the ultimate goal of improving student learning. Professional development is delivered online, through individual courses and workshops from all departments, through the Superintendent s Learning Series, at CITE, internally in schools and departments and through numerous other venues during the school year. Professional development provides a comprehensive, sustained and intensive approach to improving the knowledge and effectiveness of education professionals and all school system employees. Professional development fosters collective responsibility for improved performance by students, schools and departments. Professional development comprises learning that is aligned with rigorous state academic achievement standards as well as related local educational agency and school improvement goals conducted among educators at the school and central office level and facilitated by well-prepared experts, educators, professional development coaches, mentors, department leaders or teacher leaders delivered on a regular basis among established teams of teachers, principals or school system employees that engage in a continuous cycle of improvement National standards for professional development can be seen here: Standards. Leadership Development Leadership development is extremely important if is to remain on the cutting edge in education. School leaders must develop, communicate and build momentum for clearly defined beliefs about teaching and learning. All members of the school and community must share ownership in the educational process. Effective leadership provides adequate direction and support to help schools achieve goals that promote student success. School leaders must be flexible to adapt to the school environment able to analyze the leadership characteristics of their schools knowledgeable about where a school community is and where it needs to be Page 61

68 ORGANIZATIONAL SECTION able to develop a vision about the future needs of students and deliver a coherent message so stakeholders can speak the same language about leadership in the school able to work with people in a manner that ignites their passions, talents and desire to attain that shared vision supports leadership development through high-quality professional development programs for all employees. Breakfast programs, book studies, mentorships and a variety of ongoing professional development opportunities are provided to all employees to expand and develop leadership potential. Partnerships with local universities and the guidance of the K12 Advisory Committee for Excellence in Education further support leadership development. Cultural Competence Keeping the needs of all employees and students in focus, professional development incorporates the school system s cultural competency model. Through their attitudes and behaviors, employees are expected to establish environments that are emotionally and physically safe and that communicate high expectations for academic achievement and quality relationships. Professional development related to these issues is particularly important when working with students or employees from a wide variety of backgrounds. High-quality professional development about cultural competency provides employees with opportunities to understand their attitudes regarding race, class and culture and how those attitudes affect their daily practices and expectations for student and employee learning and behavior. In addition, employees learn about the cultural backgrounds of students and colleagues to develop an appreciation for the benefits of diversity in classrooms, schools and departments. Professional development equips all employees with the knowledge and skills to establish safe and orderly learning environments characterized by mutual respect in which academic achievement and psychosocial development will occur. Guiding Principle: Quality Service and Operations Excellence requires planning and change. General Expectations Essential to actualizing any organization s vision and mission is the overarching dynamic that defines how the work is accomplished. is committed to providing the highest-quality programs and services by empowering all staff members to incorporate and engage in quality management principles and practices while efficiently managing resources. efficiently and effectively exceeds minimum compliance standards, has a pervasive commitment to the highest-quality service and maintains a culture of honesty and integrity. Along with the school system s commitment to continuous improvement, these principles create, support and maintain an environment that is emotionally and physically safe and that communicates high expectations for academic achievement and quality relationships. No matter what their title or job description is, employees of are expected to provide the highestquality service effectively and efficiently. Compliance Compliance is a basic element of public education. Committed to the highest-quality service, continually exceeds basic compliance standards. The school system conforms to Chesterfield County School Board policies, Virginia Department of Education regulations and county, state and federal laws and regulations. It is the responsibility of every employee of to make sure their work complies with applicable laws, regulations and policies. Quality expects no less than the best from students and from employees. The days of that s how we ve always done it are over, replaced by a spirit of innovation and a determination to lead the way into the future. School system employees are expected to model for our students academic achievement, core values and technology and 21st-century skills. The school system continuously evaluates major goals and objectives and aligns appropriate resources on an annual basis by using proactive, flexible strategic planning and budgetary processes. Engaging and communicating with all stakeholders within and without is a vital part of highquality service and operations, strengthening policy, planning and development. The school system s community relations program, which seeks to build a productive relationship with the community, includes information sharing and communication plus opportunities for community input and engagement. That includes opportunities for internal and external stakeholders to offer ideas during the budget process, comprehensive plan development and other school system initiatives.creating an organizational culture driven by continuous improvement requires consistent application and reinforcement by workforce performance systems that provide development support. Professional Growth and Performance Plans are used annually to evaluate all employees. Pairing professional growth with performance evaluation, the plans provide an opportunity for employees to self-evaluate and make suggestions for their own professional development. Culture of Respect, Responsibility, Honesty and Accountability Quality service begins with the core values of respect, responsibility, honesty and accountability. Since 1999, Chesterfield County Public Schools has embraced these core values in classrooms and offices. Page 62

69 ORGANIZATIONAL SECTION It is easy to see core values in action. Visit any school on any day to observe students bringing in food bank donations, mentoring younger children and studying hard. Visit any school on any day to see teachers making sure every child achieves academically, staff members going the extra mile and administrators and parents collaborating to solve problems. The entire school system demonstrates accountability by providing a quality education to the children of Chesterfield County and by using tax dollars effectively and efficiently. Guiding Principle: Community Investment Our citizens, parents, students and employees are partners in sustaining competence and investing in excellence. General Expectations Through partnerships with students, families and citizens, the school system s mission is to emphasize and support high levels of achievement through a global education for all with options and opportunities to meet individual students diverse needs and interests. The School Board counts as its partners not only students, parents and families but also PTAs, the faith community, businesses, other groups, such as the Chesterfield Public Education Foundation, and Chesterfield residents of all ages. promotes the active engagement of the community not only to nurture a better understanding of the goals and attributes of public education but also to create effective partnerships to benefit our students. The School Board is committed to establishing and sustaining a productive, mutually beneficial relationship with the community through a community relations program. The cornerstones of community relations, both at the division and school levels, are ongoing internal and external information sharing and communication, opportunities for community input and engagement, partnerships and volunteerism. The superintendent or the superintendent s designee is responsible for carrying out the division s community relations program. Principals are responsible for carrying out community relations efforts for their schools. Every employee is a representative of. Community investment is built on hundreds of daily interactions between employees and parents or other community members, so it is the daily responsibility of every employee to be a productive ambassador for. Information Sharing and Communication All employees are expected to provide accurate, regular, timely and consistent messages and information that build public support and help residents make informed decisions about public education in Chesterfield County. Also, division-level employees are expected to release accurate and timely information so that residents, staff members and students understand School Board actions, policies and related issues. Among the ways that information will be distributed are through employee and community newsletters, the school system s website, social media, blogs, publication of mythbusters and responses to frequently asked questions, ParentLink, School Board and superintendent s reports at televised School Board meetings, news releases, news conferences, employee orientations, regular communication to County Council of PTAs/PTSAs and local PTAs and accounts (to the School Board and school system) that allow community members and staff members to ask questions and comment on matters, key communicators network, ACTS meetings, graduation ceremonies, superintendent s presentations to school faculties, superintendent s TV spots and the PR network. Opportunities for Community Input and Engagement Employees at the division and school levels are expected to provide opportunities for two-way communication and public engagement seeking citizen input during the budget process, comprehensive plan development and other vital initiatives. Division-level employees and School Board members are also expected to be visible in schools, in the community and at community meetings and events. Principals are expected to be visible in their communities. This includes attending or speaking at community, civic, business, division or school functions; serving as a formal or informal liaison to various groups such as the Chesterfield Public Education Foundation, County Council of PTAs/PTSAs, Communities In Schools, regional governor s schools and Chesterfield Business Council; hosting informational meetings for faith leaders, business leaders and others; and attending meetings with members of the Chesterfield County Board of Supervisors. The school system s methods of communicating and seeking citizen input include a speakers bureau, serving on boards of community organizations, holding School Board public engagement sessions, involving community members and staff members on various advisory committees established by the School Board, involving community members and staff members in the development of the Design for Excellence 2020, conducting bus tours of Chesterfield schools for senior citizens, real estate agents and others and posting proposed School Board policies on the school system s website. Partnerships Employees are expected to promote educational partnerships for schools and for the entire school system. An educational partnership is a mutually beneficial, cooperative relationship in which the partners share values, objectives and human or financial resources to enhance student learning. Partners may include students, parents/guardians, families, businesses, community organizations, the faith community and other citizens. According to School Board policy, certain partnerships must be in writing. In addition, School Board policy limits the formal partnerships that principals may approve. Page 63

70 ORGANIZATIONAL SECTION Because the involvement of parents/guardians and families is vital to student achievement, the School Board expects schools to provide a welcoming and supportive climate that facilitates parent/guardian involvement as volunteers, audiences, joint problemsolvers and supporters of their students learning. The School Board also endorses the voluntary involvement of the faith community in education-related activities such as mentoring, tutoring, crisis counseling, student and staff recognition and helping communicate school system priorities to the community. The School Board desires and encourages the involvement of businesses and other community groups in schools. This involvement enriches educational experiences for students, provides professional development for staff members and builds greater understanding between the school system and the broader community. Volunteerism The School Board values and appreciates parents and community members who volunteer their time, talent and expertise to and its students and staff members. Citizens are encouraged to take advantage of opportunities in schools to share their interests and experiences with students. Volunteers allow instructional staff members to spend more time with students, show students the relevance of the curriculum to real life and help individual students improve their academic skills. The School Board encourages parents and other community members to volunteer in schools and supports the recognition of volunteers by schools and the division. The School Board encourages local citizens to attend school events that are open to the public. Also, the School Board provides community members access to school facilities for recreation and learning opportunities. Employees are expected to promote volunteerism in schools and throughout the division. This includes enlisting the assistance of supportive stakeholders to help schools through donations of time, talents and resources. The School Board desires that all students develop a strong sense of personal and social responsibility and that Chesterfield County students be perceived as a resource to the community. The School Board encourages students, with family support, to volunteer on weekends and after school. The School Board supports student engagement in school-sponsored community service activities and in school-sponsored service learning, which adds real-life perspective to classroom studies. Guiding Principle: Safe, Supportive and Nurturing Learning Environments Trusting relationships and our core values respect, responsibility, honesty and accountability foster learning. General Expectations Learning is the core business of, but children cannot learn effectively if they do not feel safe, so providing safe, supportive and nurturing learning environments for students and staff members is a top priority. Although problems can sometimes occur, Chesterfield schools are safe and students learn every day in excellent academic environments. Safe Collaborating with local and state health, safety and emergency personnel, takes a proactive approach to security. The school system s security coordinator oversees efforts, but everyone has a responsibility to keep schools safe. Every school and the school division have emergency response plans, which include strategies to prevent problems and actions to take if there is an emergency. Emergency response plans are updated each year. Prevention efforts include security cameras, monitoring school entrances and computers in every school that scan visitor IDs and check names against an online sex offender registry. Each school has a crisis management team, trained to National Incident Management System standards. High schools and middle schools have school resource officers who are members of the Chesterfield County Police Department trained to work in a school environment. Communication is an important part of safety, and uses ParentLink to quickly communicate via phone and with parents. Safety efforts also include keeping schools clean and free of germs, making sure food is prepared safely and educating students about staying safe online. Supportive Students arrive at school with a variety of experiences from diverse backgrounds. Schools simultaneously prepare students for the world and offer a refuge from harsher realities. A supportive climate grows from positive relationships among students, teachers, staff members, parents and volunteers. The core values of respect, responsibility, honesty and accountability offer a framework for building positive relationships. Anti-bullying programs and kindness activities also help create environments where students and employees feel safe and supported. Nurturing Students stay committed to their education when they believe that teachers or other school staff members are interested in them and their future, so it is vital for every student to feel connected to at least one adult at school. With high expectations for every student, offers instruction to engage multiple learning styles, including nontraditional alternatives for students for whom traditional programs have not been successful; exceptional education and Page 64

71 ORGANIZATIONAL SECTION gifted instruction; high school specialty centers and governor s schools that allow students to deeply explore interests and talents; online instruction; and classes that carry college credit. Chesterfield schools are implementing Effective Schoolwide Discipline, a comprehensive initiative to improve student behavior using frequent positive feedback, consistent support and student-centered problem-solving. The school system serves healthy breakfasts and lunches and encourages students, staff members and families to choose healthy lifestyles. New buildings are energy efficient, and older buildings are being updated to become more efficient. Schools support recycling and conservation efforts. Page 65

72 ORGANIZATIONAL SECTION GUIDING PRINCIPLES FOR BUDGET DEVELOPMENT The five guiding principles established in the Design for Excellence 2020 are daily expectations in Chesterfield County Public Schools. To this end, the adopted FY2015 financial plan for all funds totaling $618,525,400 and 7,926.6 FTEs has been developed to support these five guiding principles: STUDENT ENGAGEMENT Develop schoolwide initiatives that promote student engagement by involving students in school activities and classroom work Incorporate teaching strategies that include high rigor and relevance, personalization of learning, active learning strategies, and a focus on reading Provide stimulating and comfortable classrooms, positive core values instruction, and insure student mastery of basic technical and social skills COMMUNITY OF LEARNERS Provide a sound and challenging learning environment for all employees and students Analyze student achievement data thoroughly with the goal of continuous improvement Support the needs of learners with professional growth and performance plans Support the process with professional and leadership development Ensure everyone has a voice through cultural competence QUALITY SERVICE AND OPERATIONS Assure compliance with applicable laws, regulations and policies Align appropriate resources by using proactive, flexible strategic planning and budgeting processes Develop and maintain a diverse workforce committed to student success in school and beyond high school COMMUNITY INVESTMENT Provide accurate regular, timely and consistent messages and information that build public support and help residents make informed educational decisions Provide opportunities for two-way communication and public engagement seeking citizen input for vital initiatives such as the budget process and comprehensive plan development Promote educational partnerships and volunteerism for schools and for the entire school division SAFE, SUPPORTIVE AND NURTURING LEARNING ENVIRONMENTS Collaborate with local and state health, safety and emergency personnel for a proactive approach to security Build positive relationships among students, teachers, staff members, parents, and volunteers Provide instruction to engage multiple learning styles; implement the Effective Schoolwide Discipline initiative and encourage healthy lifestyles Page 66

73 ORGANIZATIONAL SECTION STUDENT ENGAGEMENT The FY2015 budget was developed with a primary focus on preserving and expanding instructional programs consistent with the Design for Excellence A total of 111 teaching positions has been added to the budget for FY2015 to begin reducing the pupil/teacher ratio K-12 and to expand elective offerings at the secondary level. The impact of this initiative is intended to be targeted, affecting the schools with the greatest need first. Chesterfield County Public Schools continues to have a wide range of course offerings including honors and advanced placement courses as well as dual enrollment courses in conjunction with area colleges and universities. Specialty centers, International Baccalaureate programs, center-based gifted programs at the elementary and middle schools levels as well as Technical Center courses are among the academic options for students in FY2015. A second career and technical center will open (Hull Street location) in the fall of A number of the courses currently offered at the Courthouse Technical Center will also be offered at the second location, as well as a number of new courses. Programs for special populations disadvantaged students, disabled students and English Speakers of Other Languages will continue as well. In addition to the core curriculum, our elementary schools will offer instruction in art, music, physical education, library and technology as well as world languages in 13 of these schools. A full range of music and art instruction will be offered at our secondary schools, including orchestra, band, choral programs, photography and art. We will continue our integration of technology to ensure meaningful learning for each student and will maintain the utility of technology which has become as vital as other basic utilities such as electricity, water and gas. Chesterfield continues to be the largest participating division in both the Maggie Walker Governor s School and the Appomattox Regional Governor s School as well as the Math and Science Innovation Center. The State Comprehensive Services Act requires local governments and school boards to collectively serve mandated populations. The School Board funds 35% of the costs incurred for this effort. The Design for Excellence 2020 supports development of the whole child, to include an emphasis on closing achievement gaps. Schools use engaging instruction supplemented by multiple tiers of intervention to meet individual student needs. Funding in this adopted budget includes increased funding for safety nets, continuation of reading support such as PALS tutors and reading specialists in every elementary school, and professional development for teachers and other staff. While the large majority of the blended learning initiative is being funded in the Capital Improvement Plan, it is important to note this ambitious endeavor for our students for FY2015 here. defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. This approach allows teachers to use technology for instruction and student evaluation. Teachers can receive real-time feedback on student performance, and students can learn individually at their own pace. By combining technology and traditional best practices, instruction can be differentiated to meet individual student needs. Instantaneous feedback and individualized instruction will also empower students to take ownership of their learning. For FY2015, Chromebooks, a component of the blended learning initiative, will be issued to all middle school students with high schools to follow in FY2016. COMMUNITY OF LEARNERS is a community of learners committed to providing a sound and challenging learning environment for all students and employees. Effective teaching is the most essential factor in student learning and effective leaders support learning. It is the policy of the Chesterfield County School Board and County Government to establish and maintain a coordinated compensation system that is internally and externally equitable and allows to attract, motivate and retain qualified employees at all levels of service. FY2009 represented the third and final year of a compensation plan to bring salaries to the local market average. The goals of the three-year plan were accomplished; however, budget constraints in FY2010 did not permit salary increases for any employee of the school division. The FY2011 budget outlook forced a salary reduction for all employees as well as reductions in other benefits. The FY2013 budget restored the FY2011 salary reduction as well as another small increase to offset the one percentage point of the VRS payment that CCPS employees were required to pay in FY2013. The following year, employees received a 4% salary increase to offset the remaining 4 percentage points they are now required to pay as the employee share of the VRS benefit. At midyear, all employees received a 2 percent salary increase as well. For FY2015, all eligible employees will receive a 1% salary increase. In addition, athletic and academic supplements will be restored to the FY2009 levels after a 15% reduction for the past several years. Payments to the Virginia Retirement System on behalf of our employees as well as group life insurance payments will rise substantially for the increase in the VRS retirement rate and for the salary increases as well as the increase in FTE positions for FY2015. Federal law also requires the school system to make its contribution to the Social Security system on behalf of our employees. Additional dollars are required as a result of the additional FTE positions and the salary increases. This adopted plan includes the School Board s continued significant contributions on behalf of its employees for health care. The School Board s contribution to dental coverage was reduced by one-half in FY2011 and remains at that level for FY2015. Page 67

74 ORGANIZATIONAL SECTION QUALITY SERVICE AND OPERATIONS efficiently and effectively exceeds minimum compliance standards, has a pervasive commitment to the highest quality service and maintains a culture of honesty and integrity. As part of our ongoing efforts to ensure that operations are as efficient as possible, the Chesterfield County School Board and superintendent volunteered in the fall of 2009 to participate in the Virginia School Efficiency Review Program. MGT of America was contracted by the Virginia Department of Planning and Budget to conduct the study. Auditors examined administration, human resources, finance, purchasing, educational service delivery costs, special education, facilities, transportation, technology, management and food services. After analyzing data from interviews, community input, state and school division documents and first-hand observations, MGT developed 77 recommendations. Of those, 21 had fiscal implications 10 recommendations would save money while 11 would require additional funds. Implementing all of the recommendations would save $4.5 million during , representing 0.7% of the operating budget. From that data, one could conclude that Chesterfield schools are operating at 99.3% efficiency. During the development of the FY2011 budget, the School Board adopted $4.3 million of the $4.5 million in recommended efficiencies. In recent years, the county and school division formed a joint efficiency committee to accept staff and community suggestions and review options for increased efficiencies. Other ongoing activities to support this goal are policy development and review, revisions to the budget process for alignment with the six-year plan, and development of a comprehensive plan for curriculum, instruction, and assessment management systems with strong links to staff and leadership development. COMMUNITY INVESTMENT Our community is a rich source of relationships for our students and staff and we value the investment made by our many community groups, including the Chesterfield Public Education Foundation, the faith community, the Citizens Budget Advisory Committee, the Committee on the Future and others. The School Board began formal public engagement sessions a number of years ago to glean more input from our citizens. The Superintendent s community forums began at the same time and were held in each magisterial district detailing the strategic plan for achieving excellence in our schools. The Superintendent and School Board believe everyone in Chesterfield County has a role to play in public education and these activities are avenues for our community to invest in an excellent education for our young people. Two initiatives, intended to keep parents and students informed, both in academics as well as scheduled events and emergency situations, continue to be funded in the FY2015 budget. Blackboard Connect is a telephone notification system available at all levels and from Community Relations at the central office level. Edline provides grade and class assignment information to parents and students at the secondary level. In addition, CCPS has a common template for school websites at each level. This template sets consistent expectations for student, parent, and community information. SAFE, SUPPORTIVE AND NURTURING LEARNING ENVIRONMENTS A primary objective here is to provide safe and secure school buildings and operations. To address this objective, the budget includes school resource officers and security monitors at the secondary level. For a number of years,the school division has had agreements to buy some of its other services from the County, such as grounds maintenance, public health nurses, and school resource officers, as well as accounting and purchasing. For FY2015, the School Board will begin a plan to outsource custodial services and reduce the level of warehouse services provided currently. This plan, intended to create additional efficiencies and maximize funding for instruction, is projected to save the school division about $2.0 million in FY2015. Our capital improvement program, funded primarily with bond proceeds and pay as you go local funding, has provided new and renovated facilities over the years and includes significant funding for safety initiatives and energy improvements. The issuance of bonds requires significant principal and interest payments each year from the operating fund. Funding from special grants has enabled visitor management systems to be installed in every school and provided security cameras and limited access systems at the elementary level as well. The Capital Improvement Plan is designed to closely align with Chesterfield County s Comprehensive Plan and is based on three important tenants; ensuring sufficient and appropriate educational space for our students, properly maintaining all facilities, and promoting parity and equity among all schools. The public facilities plan included in the Comprehensive Plan states: high performing, high quality public schools contribute to the quality of life and economic vitality of Chesterfield County. The importance of providing school facilities equitably to all county residents is paramount, as is finding ways to plan and adapt to future needs on the basis of anticipated trends in demographics and technology. Page 68

75 ORGANIZATIONAL SECTION SCHOOL BOARD FINANCIAL POLICIES FINANCIAL MANAGEMENT: The School Board shall manage and control the funds made available to the School Board for the public schools and may incur costs and expenses. At least once each year the School Board will submit a report of all its expenditures to the appropriating body on or before September 15 following the close of the fiscal year. Such report shall also be made available to the public either on the division website or in hard copy at the central division office on a template prescribed by the State Board of Education. The Superintendent or the Superintendent's designee shall be responsible for administering the division budget in accordance with School Board policies and applicable state and federal regulations and laws; therefore, the Superintendent or the Superintendent's designee will use appropriate fiscal planning and management methods, modeled after the best accepted business practices and directed toward the educational goals of the division ANNUAL BUDGET: The annual school budget is the financial outline of the division's education program. It presents a proposed plan of expenditures and the expected means of financing those expenditures designed to accomplish the educational goals and priorities of the division. After adoption, it provides the primary means of managing expenditures. The fiscal year begins on the first day of July and ends on the thirtieth day of the following June. The Superintendent shall prepare an estimate of the amount of money needed during the next fiscal year for the support of the public schools of the division. Such estimate, upon the approval of the School Board, shall be submitted to County Board of Supervisors. The estimate shall set up the amount of money needed for each major classification prescribed by the State Board of Education and such other headings or items as may be necessary. The School Board recognizes the value of receiving input from staff, parents, students, and the community members throughout the budget process. To this end, the Superintendent may establish a Budget Advisory Committee for each budget development cycle to assist the Superintendent in establishing the budget priorities for the next two-year budget. Additionally, the Superintendent or the Superintendent's designee shall prepare a budget calendar identifying all deadlines for the annual budgetary process. The calendar shall include at least one work session for reviewing the budget and at least one public hearing on the budget. Notice of the time and place for the public hearing shall be published at least ten days in advance, in a newspaper having general circulation within the division. The budget shall be based on forecasts of changes in student enrollment and data on student achievement and progress in meeting the educational goals and priorities established in the School Board s long-range plan. Upon approval of the school division s budget by the appropriating body, the school division shall publish the approved budget, including the estimated required local match, on its website and the document shall also be made available in hard copy as needed to citizens for inspection BUDGET - FUNDS TRANSFERS: The adoption of the budget by the School Board includes the authority for the administration to make expenditures as appropriated by the Appropriation Resolution approved by the Board of Supervisors. Such appropriation may relate to its total only or to such major classifications prescribed by the State Board of Education pursuant to Va. Code Transfers between major object groups within a department/school or from one department/school to another in the same major classification shall require the approval of the Superintendent or the Superintendent's designee. In the event that the Board of Supervisors appropriates by major classifications and grants authority to the Superintendent and/or the School Board to transfer a portion of the funds from one major classification to another without the further approval of the Board of Supervisors, such transfer, or successive transfers, may be accomplished as authorized and limited by the Appropriation Resolution. In no event shall a major classification transfer exceeding $50,000 occur without the prior approval of the School Board. Major classification transfers approved by the Superintendent shall be reported to the School Board at its next occurring regular meeting. Proposed transfers in excess of the dollar limitations established in the Appropriation Resolution shall be submitted to the Board of Supervisors for prior approval. A budget status report reflecting changes to the approved budget, as amended, shall be presented to the School Board and the Board of Supervisors as necessary, but no less often than semi-annually. Changes to major classifications, if any, shall be included in this report. Page 69

76 ORGANIZATIONAL SECTION FINANCIAL GRANTS: The School Board may seek as many sources of revenue as possible to supplement funds provided through state and local government funding. Applications for funds or reimbursement requests to grantors must be approved by the Superintendent or the Superintendent's designee prior to submission. To ensure coordination and avoid confusion in developing proposals and making application for specially funded programs, the Superintendent or the Superintendent s designee may establish standard procedures for the preparation of proposals and their review. The Superintendent or the Superintendent's designee shall also ensure that none of the conditions of acceptance is in conflict with the policies of the School Board, the objectives of the division, or state or federal law. The Superintendent or the Superintendent's designee may submit grant proposals or applications for special grants without the approval of the School Board. However, no such application or proposal shall in any way obligate or bind the School Board unless and until the School Board accepts the grant after full disclosure of the grant s provisions and funding availability PROCUREMENT: The purpose of this policy is to continue public confidence in purchasing by the School Board, to encourage competition in public purchasing among vendors or contractors, to administer fairly and equitably purchasing policies among bidders and to obtain high quality goods and services at the lowest possible price. All public contracts with non-governmental contractors for purchases involving goods, services and capital projects for the School Board shall be accomplished through the County of Chesterfield Purchasing Department and in compliance with its policies and procedures, with the following exceptions: 1. The Superintendent is the purchasing agent for School Board construction funds; and 2. The Director of Food Services is the purchasing agent for the School Board for purchasing food supplies for schools. Nothing in this policy shall prevent the School Board from complying with the terms and conditions of any grant, gift or bequest that are not prohibited by law. Page 70

77 ORGANIZATIONAL SECTION PURPOSE: COUNTY FINANCIAL POLICIES Promoting financial integrity is a priority in Chesterfield County. The following financial policies and guidelines establish the framework for the County s overall fiscal planning and management. These broad policies set forth guidelines against which current budgetary performance can be measured and proposals for future programs can be evaluated. The policies support the County s strategic goal number one; to be exemplary stewards of the public trust. The County s financial policies were revised most recently by the Board of Supervisors as a part of the adoption of the FY2012 operating budget. SCHOOL BOARD PRELIMINARY FUNDING FORMULA: Each fall, the County provides the School Board with a preliminary estimate of local funding for the upcoming fiscal year. The School Board uses this preliminary estimate to formulate its budget. In FY2010, the traditional formula was replaced with an approach that begins with a baseline percentage of support for education and builds from there as needs dictate. BALANCED BUDGET: The provisions of the Code of Virginia shall control the preparation, consideration, adoption and execution of the budget of the County. In addition, the County Charter requires the budget to be balanced. The County s budget is considered balanced if estimated revenues meet planned expenditures. The County will annually adopt and execute a budget for such funds as may be required by law or by sound financial practices and generally accepted accounting principles. The budget shall control the levy of taxes and the expenditure of money for all County purposes during the ensuing fiscal year. REVENUE POLICIES: The County strives to maintain a diversified and stable revenue system to shelter the government from fluctuations in any one, single revenue source and ensure its ability to provide ongoing service. FUND BALANCE: The County does not intend to use unassigned fund balance to finance current operations. The County s unassigned fund balance has been built over the years to provide the County with sufficient working capital to enable it to finance unforeseen emergencies without borrowing. To conserve and avoid reliance on this balance, the County will not finance operations from the unassigned fund balance. If such financing becomes necessary, it will be for a period of no longer than two years. REVENUE OR TAX ANTICIPATION NOTES: The County does not intend to issue tax or revenue anticipation notes to fund government operations. Chesterfield County intends to manage cash in a fashion that will prevent any borrowing to meet working capital needs. BOND ANTICIPATION NOTES: The County does not intend to issue Bond Anticipation Notes (BANS) for a period of longer than two years. If the County issues a bond anticipation note for a capital project, the BAN will be converted to a long-term bond or redeemed at its expiration. REVENUE DIVERSIFICATION: Current revenues will fund current expenditures and a diversified and stable revenue system will be maintained to protect programs from short-term fluctuations in any single revenue source. REVENUE COLLECTION: The County shall strive to achieve an overall property tax collection rate of 100 percent. Page 71

78 ORGANIZATIONAL SECTION USE OF ONE-TIME REVENUE/ONE-TIME EXPENDITURE SAVINGS: The use of one-time revenues and one-time expenditure savings will be used for non-recurring expenditures. CAPITAL IMPROVEMENT PROGRAM: Capital Improvement Program Preparation In accordance with the County Charter and in order to meet the debt ratio targets, to schedule debt issuance, and to systematically improve the County s capital infrastructure, each year the County will prepare and adopt a minimum five-year Capital Improvement Program. Pay-As-You-Go Capital Improvement Funding The County is committed to funding a significant portion of capital improvements with current revenues and now funds at least 20 percent of general government improvement projects and 10 percent of school projects with current revenue over the term of the plan. In support of this, the Board of Supervisors has established, and adheres, to a policy of annually allocating an amount equal to 5 percent of General Fund departmental expenditures (excluding transfers, grants, unassigned fund balance, debt service, and respective flow-through expenditures) and the School Board has established a policy of annually allocating an amount equal to 5 percent of the General Fund transfer to Schools, to pay-as-you-go capital improvements Capital Improvement Assignment The County s policy of funding a large portion of capital expenditures as we go by consistently setting aside 5 percent of operating expenditures for capital investments further enhances debt management. Annually, some portion of the assignment is not allocated to specific projects and remains available to deal with unforeseen circumstances for future capital projects. Page 72

79 ORGANIZATIONAL SECTION COUNTY DEBT POLICIES The Board of Supervisors generally follows the guidelines listed below in making financial decisions on debt issuance. Adherence to these guidelines allows the County to plan for the necessary financing of capital projects while maintaining credit worthiness. In addition, continued adherence to these policies will ensure Chesterfield's strong financial position. Debt Ratio Policies As part of its debt policy, Chesterfield has established planning caps and ceiling numbers for certain ratios. These key debt ratios are shown below: Actual Planning June 30, 2013 Cap Ceiling Debt as a Percentage of Assessed Value 1.48% 3.0% 3.5% This ratio indicates the relationship between the County s tax supported debt and the taxable value of property in the County. It is an important indicator of the County s ability to repay debt, because property taxes are the source of the County s revenues used to repay debt. A small ratio is an indication that the County will be better able to withstand possible future economic downturns and continue to meet its debt obligations. Debt Per Capita $1,607 $1,767 $1,987 This ratio indicates the County s per capita tax supported debt burden and is a general indicator of the County s debt burden. A smaller ratio indicates a lighter burden. The target and ceiling values for the debt per capital ratio will increase by two percent at the beginning of each biennium. The above planning cap and ceiling were in place beginning in FY2013. Debt Service as a Percentage of General Governmental Expenditures 7.0% 10% 11% This ratio is a measure of the County s ability to repay debt without hampering other county services. A small ratio indicates a lesser burden on the County s operating budget. Long Term Debt Policy The County will use debt financing for capital improvement projects and unusual equipment purchases under the following circumstances: When the project is included in the County s capital improvement program and/or is generally in conformance with the County s Comprehensive Plan. When the project is not included in the County s Capital Improvement Program, but it is an emerging critical need whose timing was not anticipated in the Capital Improvement Program, or it is a project mandated immediately by state or federal requirements. When the project's useful life, or the projected service life of the equipment, will be equal to or exceed the term of the financing. When there are designated revenues sufficient to service the debt, whether from project revenues, other specified and reserved resources, or infrastructure cost sharing revenues. The following criteria will be used to evaluate funding options for capital improvements: A. Factors that favor pay-as-you-go: o o o o Current revenues and adequate assigned fund balances are available. Project phasing is feasible. Debt levels would adversely affect the County s credit rating. Financial market conditions are unstable or present difficulties in marketing the sale of long-term financing investments. Page 73

80 ORGANIZATIONAL SECTION B. Factors that favor long-term financing: o o o o o Revenues available for debt service are considered sufficient and reliable so that long-term financing can be marketed with the highest possible credit rating. The project for which financing is being considered is of the type that will allow the County to maintain the highest possible credit rating. Market conditions present favorable interest rates and demand for municipal financings. A project is mandated by state or federal requirements and current revenues and fund balances are insufficient to pay project costs. A project is immediately required to meet or relieve capacity needs. There are many different types of long-term debt instruments available. Depending on the specific circumstances, the County will consider using the following types of financing instruments: General Obligation Bonds (referendum approved) General Obligation Bonds sold to Virginia Public School Authority for school capital projects (no referendum requirement) Revenue Bonds Certificates of Participation Lease Revenue Bonds It is important to be clear in defining debt as it relates to the ratios described above. The calculation that is used most frequently among municipal rating agencies is the one that takes into account all debt supported by tax revenues. This debt position shows the amount of indebtedness serviced from the General Fund; that is, it reflects the debt service payments made directly from the County s tax revenues. This is net tax-supported debt. Debt, as it is referred to in the ratios above, is net tax-supported debt. Page 74

81 ORGANIZATIONAL SECTION APPROPRIATION CATEGORIES, OBJECTS OF EXPENSE AND REVENUES Accounting Hierarchy for Expenditures: Section of the code of Virginia sets forth requirements for system of accounting, statements of funds available, classification of expenditures. The State Board, in conjunction with the Auditor of Public Accounts, shall establish and require of each school division a modern system of accounting for all school funds, state and local, and the treasurer or other fiscal agent of each school division shall render each month to the school board a statement of the funds in his hands available for school purposes. The Board shall prescribe the following major classifications for expenditures of school funds: (i) instruction, (ii) administration, attendance and health, (iii) pupil transportation, (iv) operation and maintenance, (v) school food services and other noninstructional operations, (vi) facilities, (vii) debt and fund transfers, (viii) technology, and (ix) contingency reserves. Building on this requirement, the following is the hierarchy for expenditures: 1) Funds 2) Appropriation Categories 3) Functions 4) Programs/locations 5) Objects of Expense - Object codes are used to specify the actual service or item procured by the school division. This level of detail provides accurate accounting of expenditures within the various school and central office budgets. Description of School Funds: The FY2015 adopted budget for is comprised of five funds. These funds are described in summary below and in much greater detail throughout this document. Operating Fund: This fund totals $567,304,500 and 7,118.6 full-time equivalent positions or FTEs for FY2015 and finances the majority of the division s daily operating functions. Nearly 100% of the revenue supporting this fund is derived from state and local sources, primarily state aid, sales tax and the county transfer. Grants Fund: Funding is received to support this fund from both the state and federal governments, as well as from public and private organizations. The estimate for FY2015 for the grants fund is $24,862,000 including full-time equivalents (FTEs). In total, CCPS receives funding from approximately 30 grant sources on an ongoing annual basis. This funding supports programs such as the Individuals with Disabilities Education Act (IDEA), Title I, Title II, Title V, Headstart, Drug-free Schools. Governor s Technology Initiative, Carl Perkins Vocational Education and Adult Education. Federal Food Services Fund: operates a federal school lunch program in the elementary and middle schools. Federal and state funds are received as well as revenue from sale of meals. State revenue is received for the State's share of the Federal program. This fund is not supported by County resources. Federal revenue is distributed based on the number of breakfasts and lunches served in the participating schools. Planned expenditures of $21,520,900 and FTEs in FY2015 include all operating and administrative costs for all K-8 food services, including a transfer to the School Operating Fund annually to partially offset the cost of building usage. Beginning in FY2009, a breakfast program was made available in all of our elementary and middle schools. Non-Federal Food Services Fund: The division also operates a self-supporting non-federal lunch program in each of the high schools. This program was initiated in FY1993 as an alternative to the decline in participation at the high school level in the federal school lunch program. No financial assistance is received from local, state or federal agencies. Sale of meals and vending items provide the largest source of revenue for this program. Planned expenditures of $4,838,000 and FTEs in FY2015 include all operating and administrative costs for grades 9-12 food services, including a transfer to the School Operating Fund annually to partially offset the cost of building usage. An a la carte breakfast program is also served in each of our high schools. Capital Improvement Fund: This fund supports construction and renovation projects, major maintenance for our facilities, and the technology plan. The budget for this fund generally spans five years; however, the current CIP approved for FY2015 is a 9-year plan. Funding sources include debt proceeds, funding from the governor s state technology initiative and pay-as-you go cash funding. Page 75

82 ORGANIZATIONAL SECTION SUMMARY OBJECT CODE DEFINITIONS: 51 Series Personnel The 51 series of object codes ( ) includes salaries and wages for employees of the school division as well as overtime expenditures, supplements, and other allowances. The 3rd digit of the object code determines full-time, part-time, temporary, etc. as follows: 1 = Full-time, 2 = Overtime, 3 = Part-time, 4 = Temporary, 5 = Substitute, 6 = Supplemental Pay, 7 = SRP. 52 Series Benefits The 52 series object classification codes are used for payment of benefits provided as part of an employee s overall compensation and includes FICA, pensions, insurance, and allowances. 53 Series Contractual Services The 53 series of object classification codes are used for contractual services to institutions and to individuals. 54 Series Internal Charges The 54 series object classification codes are charges from one activity/element of the local government to another for the use of intragovernmental services such as purchasing, risk management, fleet maintenance, and accounting. 55 Series Other Charges The 55 series of object classification codes are used for the procurement of other services such as travel, utilities, rentals and registration fees. 56 Series Supplies and Materials The 56 series of object classification codes are used for the procurement of instructional and general use supplies and materials of all types with a per-item cost up to $4, Series Payment to Joint Operations These are payments for operations that are jointly operated by two or more local governments. An operation is jointly operated if the local governments has responsibility for ownership and policymaking. 58 Series Capital Outlay The 58 series of object classification codes are used for the procurement of all additional and replacement items of a capital outlay nature. As a general rule, capital outlay items are those that have a useful life of several years, and have a per-item cost of at least $5, Series - Other Uses of Funds The 59 series of object codes denotes other uses of funds such as redemption of principal and interest on long-term debt as well as lease-purchase payments. 61 Series Transfers Out The 61 series of object codes are used to classify transfers out of the operating fund to other funds such as matching funds for grants and reserve set-aside for capital projects. Page 76

83 ORGANIZATIONAL SECTION REVENUE OBJECT CODE DEFINITIONS: LOCAL REVENUE The Board of Supervisors appropriates a number of miscellaneous revenue sources such as facility rentals, tuition and student fees. These sources are described below. Room Rental Many of the schools in Chesterfield County are used by faith-based organizations, dance companies, non-school sports programs, and boy and girl scout troops. These funds partially offset the costs of custodial services and utilities. Management Charges CIP Management Charges are incurred to offset the expenditures of the CIP Administration Office for oversight of various construction projects. Student Parking Fees CCPS charges fees to high school students who choose to drive personal vehicles to school. The schools retain $5.00 per student fee to cover the cost of parking decals, and the remaining funds are a general revenue source for the operating fund. Chromebook Fees Beginning in FY2015, CCPS will implement the first phase of the Chromebook Initiative, providing all middle school students with a Chromebook. Each student will pay a $50.00 fee. $25.00 of this fee will be retained in the operating funds for costs associated with lost cords, damages to equipment, etc., while the other $25.00 will be transferred to the CIP fund to help offset the cost of the initiative. Print Shop Charges The CCPS Print Shop is located in the Chesterfield Tech Center at Courthouse and provides printing services for schools and departments, as well as some County offices. Food Service Use of Buildings The food services funds are charged for use of school buildings annually. The amount charged is determined by the allowable unrestricted Indirect Recovery Rate set by the VDOE annually. Tuition - Other Localities Tuition is charged for Virginia students who do not reside in Chesterfield County but who have been approved to attend Chesterfield County Public Schools in accordance with the Code of Virginia, Chapter 22, Section Tuition - Summer Session Summer Session tuition rates are set prior to the beginning of the summer school session each year. These funds offset a portion of the costs of the various programs offered in summer school. Tuition - Summer Online Learning Online summer courses are offered to CCPS students, as well as students from other localities. These funds offset the costs associated with the summer program. Tuition - Driver's Education County students who enroll in a driver's education course are assessed a fee. Page 77

84 ORGANIZATIONAL SECTION Adult Education The Adult Education program collects fees and tuition in support of its various programs, including the nursing program and alternative day school classes. Sale of Equipment Funds are received from the sale of obsolete equipment, vehicles, and textbooks by the School Division. Postage Sales The Chesterfield County Public School mailroom processes all mail for the County and the Schools. Field Trip Transportation Charges Chesterfield County school buses are used throughout the school year for a variety of field and athletic trips. Donations CCPS receives donated funds from outside organizations, as well as individual school's activity funds for various expenses throughout the year. Reimbursed Services CCPS receives reimbursements for various expenditures throughout the year, such as Wellness, Recertification, COBRA insurance, and personnel expenditures covered by School Activity Funds. Miscellaneous Revenue Funds are received annually for ERATE (a federal program sponsored by the Federal Communications Commission (FCC) to provide discounts for telecommunication services) and Anthem health insurance refunds. Insurance Recovery Schools and departments file for losses or damages to property and materials, then pay for repairs or replacements. CCPS receives funds from Risk Management to reimburse for those repairs or replacements. FEDERAL REVENUE Federal revenue in the operating fund consists of general funds that are paid directly to the school division for the operation of instructional programs. These funding sources constitute a small portion of the total operating fund. All Federal funds, except Impact Aid, are also appropriated by the General Assembly through the Appropriation Act and administered by DOE. Impact Aid receives Federal funds from the Federal Department of Education based on information submitted annually as a local education agency (LEA) that serves significant numbers of federally connected children. Junior Reserve Officers Training Corps (JROTC) receives funds from the federal government for our participation in Junior Reserve Officer's Training Corps at five of our high schools. The Air Force program is offered at Monacan High School, the Naval program at James River High School, and the Army program at Midlothian, Meadowbrook and Thomas Dale High Schools. The funds received help offset salaries for administrators of this program. Page 78

85 ORGANIZATIONAL SECTION COUNTY REVENUE County General Fund Transfer The Chesterfield County General Fund Transfer supports the School Division's operations and debt service. Prior Year Fund Balance In recent years, the school division has been dependent on the appropriation by the Board of Supervisors of prior year remaining balance to fully fund the annual operating budget. Dependency on this funding source, at one time as much as $12 million, has been decreasing which is a priority in the five-year plan. Beginning Balance As required by County Government, ' budgets $1,000,000 as a beginning balance annually. STATE REVENUE State funding is provided to local school divisions through the Direct Aid to Public Education budget in the Appropriation Act. The General Assembly appropriates the funds and the Department of Education is charged with administering the funds. Funding is provided in these five major categories which are described in more detail below: I. Standards of Quality (SOQ) including State Sales Tax II. Incentive Programs III. Categorical Programs IV. Programs funded with Lottery Proceeds V. Supplemental Programs I. Standards of Quality Funding The Virginia Constitution requires the Board of Education to formulate the Standards of Quality for public schools. The General Assembly may revise the SOQ, determines the cost of the SOQ, and apportions the cost between the state and localities. The SOQ is established in the Virginia Constitution as the minimum educational program school divisions must provide. The specific requirements of the SOQ are set forth in the Code of Virginia and the Appropriation Act and include programs and staffing. State funding must be matched by the locality ( required local effort ) and is primarily based on the Composite Index. Funding for the Standards of Quality is provided through a number of accounts, mostly on a per student (in average daily membership) basis. These accounts include: Basic Aid (including health care) Fringe Benefits for funded positions Special Education (VRS, Social Security, Group Life Ins.) Career & Technical Education Sales Tax (1.125%) Prevention, Intervention, and Textbooks Remediation Early Reading Intervention Gifted Education Algebra Readiness English as a Second Language The per pupil amounts for these accounts are determined by a very complex formula (commonly referred to as the JLARC Methodology developed in the mid/late 1980s). The methodology recognizes three major components: 1. Required number of instructional positions based on the staffing standards contained in the SOQ, Appropriation Act, and Board of Education regulations, with funded salaries and benefits applied to the positions. 2. Recognized support positions with funded salaries and benefits. 3. Recognized non-personnel support costs (i.e. utilities, supplies, etc.). The support position and non-personnel support costs are based mostly on prevailing costs (a formula comprised of spending by local school divisions for these items). Support positions are now capped based on a ratio to funded instructional positions. Almost all localities hire more instructional positions than those required by the SOQ and funded by the state. Any positions over and above the required number are funded 100% by the locality. Once per pupil amounts have been determined, apportionment of the costs between the state and locality is based upon the Composite Index of Locality Ability-to-Pay. This formula is determined by the General Assembly and set forth in the Appropriation Act. The formula uses three indicators to determine ability to pay 1. True value of real property in the locality (50%) Page 79

86 ORGANIZATIONAL SECTION 2. Virginia adjusted gross income in the locality (40%) 3. Taxable retail sales in the locality (10%). To account for varying sizes of localities, each indicator is expressed on a per capita basis (using local population) and weighted 1/3 and on a per student basis (using student enrollment) and weighted 2/3. The composite index value is the proportion of local values relative to state averages. Each index is adjusted to establish an overall local share of 45% and a state share of 55%. The maximum index is.8000 (meaning a locality will not have to pay more than 80% of the calculated SOQ costs). II. Incentive Funding Incentive programs are voluntary programs but in order to receive the state funds school divisions must agree to meet the requirements of the various programs. They must certify that they will offer the program, meet the requirements and provide the required local effort for those programs. Examples for FY15 include Governor s Schools, Math/Reading Instructional Specialists, Early Reading Specialists, Special Education Endorsement Program and Clinical Faculty Program. III. Categorical Funding Programs in this area are primarily driven by state or federal requirements and may exist in some public school divisions and not in others. Programs are usually targeted to the particular needs of specific student populations such as students that are homebound, housed in local jails, or in regional detention facilities. Other programs include Virtual Virginia and Adult Education and Literacy. IV. Lottery Proceeds Fund State law requires that revenue from the Lottery Proceeds Fund be designated for public education. To ensure this occurs, funding for specific programs is included in the Appropriation Act from this Fund. All of these programs are SOQ, Incentive, or Categorical programs but are included in this category to clearly illustrate that lottery proceeds are being used to support public education. However, all of these programs were at one time funded with state general fund dollars. Therefore, additional funding was not provided to public education, rather general fund dollars were freed up to be used for other non-education purposes. For FY2015 a total of nineteen programs are funded from the Lottery Proceeds Fund. Some are SOQ accounts, such as textbook funding which is split-funded with the SOQ, SOL Algebra Readiness, Early Reading Intervention, and English as a Second Language. Others are incentive programs and include K-3 Primary Class Size Reduction and the Virginia Preschool Initiative. Still others are categorical programs and include the Mentor Teacher Program, School Breakfast Program, and Project Graduation among others. V. Supplemental Education Programs Funding in this category is directed to specific regional programs, selected school divisions or even individuals for specific purposes and are not available on a statewide basis. Examples include the Virginia Teaching Scholarship Loan Program and National Board Certification teacher bonuses. GRANTS FUND REVENUE The Grants Fund for Chesterfield County Public School is funded primarily with federal revenue. Federal funds supporting education in the Commonwealth are derived from the U.S. Department of Education and the U.S. Department of Agriculture. Grants from these entities are provided to the Commonwealth and then passed through to local school divisions for specific purposes. These federal funds are appropriated by the General Assembly in the Appropriation Act. Grant awards are made to the local school divisions with payments made on a reimbursement basis. The federal programs included in the in the FY2015 Budget are: 1. Elementary and Secondary Education Act (No Child Left Behind Title 1) - $5,757, Individuals with Disabilities Act - $10,675, Preschool Handicapped - $193, Carl Perkins Act - $595, Headstart - $1,102, Title II - $1,250, Title III - $450, st Century Learning - $511, WIA (Workforce Investment Act) - $355, VCU META - $75, Richmond Regional Homeless - $15, Adult Education - $370,000 State revenue is included in the FY2015 budget for grants such as the Governor s Technology Initiative ($1,688,000); Medicaid ($105,000); Project Graduation ($65,000); Foundation for Healthy Youth ($60,000); General Adult Ed and Race to GED ($94,000); and Jobs for Virginia Graduates ($21,000); Individual Student Alternative Education Plan ($47,152); Peer Tech ($10,000) and Teacher Mentor Grants ($34,000). Local funds are also included in the FY2015 budget for grants. These funds include a transfer from the Operating Fund for various grants of $647,600; and tuition and indirect recovery funds totaling $740,000. Page 80

87 ORGANIZATIONAL SECTION FOOD SERVICES REVENUE included funds totaling $26,358,900 in FY2015 for the operation of Food Service programs for all schools. The Federal Food Service fund includes $21,520,900 and serves students in elementary and middle schools, while the Non- Federal food Service fund totals $4,838,000 and serves high school students. The Federal Food Service fund includes Federal Funds of $10,065,000. Those funds support the following programs: 1. Federal Breakfast Program - $1,785, Federal Fresh Fruits and Vegetables Program - $280, Federal Lunch Program - $6,700, USDA Program - $1,300,000 State funds of $413,050 are included in the Federal Food Service fund for state programs such as State Breakfast ($215,050) and State School Lunch ($198,000). Local funds totaling $11,042,850 are included in the Federal Food Service fund for Sale of Student Lunches ($3,550,000); Pupil Breakfasts ($190,000); Adult Lunch Sales ($165,000) Ala Carte ($4,005,000); Vending Sales ($184,000); Management Charges ($1,533,350); a Use of Reserves (balances from prior years) of $1,250,000 and other local revenue totaling $165,500. Included in the $4,838,000 in the Non-Federal Food Service Fund is local revenue for Breakfast and Lunch Sales ($4,088,450); Vending ($648,000); Management Charges ($40,850) a Use of Reserves (balances from prior years) of $50,000 and other local revenue of $10,700. Page 81

88 ORGANIZATIONAL SECTION BASIS OF ACCOUNTING, FUND STRUCTURE, AND BASIS OF BUDGETING FUND ACCOUNTING: The accounts of (CCPS), are organized on the basis of funds. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures. For government-wide reporting, the activities of the County are reported as governmental activities or business-type activities with component unit information discretely presented in separate rows/columns or blended with County funds, as appropriate. BASIS OF ACCOUNTING: Chesterfield County uses either the accrual or the modified accrual basis of accounting, as appropriate, for each funding type or activity, in accordance with the U.S. generally accepted accounting principles (GAAP) applicable to governmental units. The modified accrual basis of accounting focuses on the flow of current financial resources. Revenues are recorded when measurable and available. According to County policy, revenues due on or before the last day of the fiscal year end that are received within 45 days after fiscal year end are considered available. Expenditures are generally recognized when the related fund liability is incurred. An exception to this general rule is principal and interest on general long-term debt which is recorded as an expenditure when paid. In applying the accrual concept to revenues, the legal and contractual requirements of the individual programs are used as guidance. Certain revenues must be expended for a specific purpose and others are virtually unrestricted as to purpose of expenditure. Under the accrual basis of accounting, revenues are recorded when earned and expenses are recorded when liabilities are incurred without regard to receipts or disbursements of cash. Unbilled accounts receivable are accrued when earned in the Enterprise Funds. FUND TYPES: These are funds through which most functions of the school board are financed. All expendable financial resources and the related liabilities are accounted for through these funds. The following five funds are maintained by the school division: Operating Fund The operating is used to account for all financial resources except those required to be accounted for in another fund. It finances the majority of the daily operations of the school division and accounts for 92% of the total adopted budget for FY2015. Nearly all of the revenues accounted for in this fund are received from state and local sources. Grants Fund receives grant funding from state and federal sources, as well as public and private organizations for specific purposes. These funds are accounted for in the grants fund which comprises about 4% of the total adopted financial plan for FY2015. Food Service Funds CCPS operates a federal school lunch program in elementary and middle schools. These programs are not supported by county resources, but rely on state and federal funds as well as revenue from the sale of meals. The school division also operates a selfsustaining non-federal lunch program at the high school level. Sale of meals and receipts from the vending program provide the largest sources of revenue for this program it receives no financial assistance from state or federal agencies. These funds make up the remaining 4% of the total adopted budget for FY2015. Capital Projects Fund Capital Projects Funds are used to account for financial resources that are restricted, committed or assigned to expenditures for capital outlay, including the acquisition or construction of capital facilities and other capital assets. BASIS OF BUDGETING: Annual budgets are adopted for all funds including capital programs. The Capital Improvement Plan is budgeted on a project-byproject basis which spans multiple fiscal years. All budgets are consistent with GASB and GAAP requirements. The budget period is the same as the accounting reporting period. The budget document contains fund statements for all school funds. Budgetary Basis refers to the basis of accounting used to estimate financing sources and uses in the budget. Modified accrual basis indicates how expenditures, other than accrued interest on general long-term debt, are recorded at the time liabilities are incurred, and how revenues are recorded when they become susceptible to accrual, that is both measurable and available. Accrual Basis indicates revenues are recorded when they are earned (whether or not cash is received at the time) and expenditures are recorded when goods and services are received. Page 82

89 ORGANIZATIONAL SECTION BUDGET CALENDAR August 20, 2013 (Tuesday) September 17, 2013 (Tuesday) October 15, 2013 (Tuesday) November 19, 2013 (Tuesday) December 17, 2013 (Tuesday) December 19, 2013 (Thursday) January 16, 2014 (Thursday) January 28, 2014 (Tuesday) January 30, 2014 (Thursday) February 4, 2014 (Tuesday) February 11, 2014 (Tuesday) February 12, 2014 (Wednesday) School Board s Citizen Budget Advisory Committee first meeting School Board s Citizen Budget Advisory Committee second meeting School Board s Citizen Budget Advisory Committee third meeting School Board s Citizen Budget Advisory Committee fourth meeting School Board s Citizen Budget Advisory Committee fifth meeting Superintendent s Budget Advisory Committee first meeting Superintendent s Budget Advisory Committee second meeting School and department administrators briefed in the morning on the Superintendent s Proposed Financial Plan to be presented to the School Board this evening; media briefed in the afternoon (information embargoed) Superintendent s FY2015 Proposed Financial Plan presented to the School Board School Board s Citizen Budget Advisory Committee sixth meeting School Board Budget work session No.1 Public Hearing during regular School Board meeting Board of Supervisors authorizes and advertises tax rate February 18, 2014 (Tuesday) School Board Budget work session No. 2 February 19, 2014 (Wednesday) February 25, 2014 (Tuesday) March 3, 2014 (Monday) March 10, 2014 (Wednesday) March 26, 2014 (Wednesday) July 1, 2014 (Tuesday) August 12, 2014 (Tuesday) August 13, 2014 (Wednesday) August 28, 2014 (Thursday) School Board s Citizen Budget Advisory committee seventh meeting School Board approves FY2015 Financial Plan School Board s Financial Plan to be transmitted to Board of Supervisors and County Administrator as required by the County Charter County Administrator presents proposed FY2015 budget including School Board s Financial Plan Board of Supervisors holds public hearing to include input on School Board s Financial Plan Fiscal Year begins School Board adopts FY2015 Annual Financial Plan Final budgets distributed to all schools and departments School Board s FY2015 Approved Financial Plan printed and released Page 83

90 ORGANIZATIONAL SECTION BUDGET PROCESS The Superintendent is required by the Code of Virginia to submit to the governing body, with the approval of the School Board, a budget proposal for the next fiscal year that will adequately support the needs of the public schools of the school division. The School Board is required to hold at least one public hearing before it gives final approval to its budget for submission to the governing body. In addition, the Charter of Chesterfield County - Section 5.2, states the following: No later than March 1st of each year, the superintendent of schools shall submit to the county administrator his estimate of projected revenues and expenditures for the next fiscal year in a form requested by the county administrator as well as a five-year capital improvements program. budget process is a two-year process closely aligned to the school division s strategic plan The Design for Excellence For FY2015, the School Board also approved a five-year plan to build on the FY2015 adopted budget, creating a roadmap for the foreseeable future. Also during the FY2015 process, a Citizens Budget Advisory Committee was created to help the superintendent and School Board evaluate and allocate resources in alignment with the Design for Excellence 2020 to ensure a high quality, effective and efficient school division. Citizens Budget Advisory Committee members serve two-year terms. The work of the committee includes: reviewing the school system s budget process reviewing expenditure, staffing and performance data and reporting on whether resource allocations advance School Board priorities working with staff members during budget development to advise the superintendent and School Board on resource allocation relative to alignment with strategic goals reviewing projected revenues and expenditures and providing advice on options to compensate for variances. While the budget process may change somewhat in future years with the recent creation of the Citizens Budget Advisory Committee, the following describes the process for FY2015/FY2016. In the first year of the biennium, the process begins in late summer/early fall with School Board guidance and direction for development of the budget. The work of the Citizens Budget Advisory begins at the same time. Broad input is sought from the community at large, parents, staff members, and organizations such as the Chesterfield Chamber of Commerce (CCC), Chesterfield Public Education Foundation (CPEF), Chesterfield Education Association (CEA), the County Council of Parent Teacher Associations (CCPTA), Chesterfield Educational Office Professionals Association (CEOPA), and advisory groups. The second year of the budget process focuses on refining year two, including revisions for unanticipated needs such as changes in student growth patterns. In the fall, each school and department receives a baseline allocation from which it will develop an operating budget request, reflecting its spending plan for the coming fiscal year. The baseline allocation for schools is determined primarily by the application of standards, which meet or exceed State Standards of Quality and/or Standards of Accreditation. These local standards are approved by the School Board. The baseline budgets developed by departments reflect the funding necessary to accomplish assigned missions and responsibilities and to continue the current level of operation for the school division. Departmental budgets are not determined by standards; consequently, baseline requests are zero-based and must be justified in every case. An intensive deliberation process follows the submission of the budget requests. The Superintendent s Cabinet members advise the Superintendent in late November of potential budget initiatives. A budget initiative is a recommendation made by one or more of the functional areas of the school division that, if approved, will have an effect on the base budget being developed by schools and departments. A budget initiative may be the expansion of an existing program or the addition of a new program. It may also be a recommendation to discontinue a program already in place. These budget initiatives submitted to the Superintendent must support one or more of the priority goals included in the Design for Excellence. Budget initiatives meeting this criterion are then presented to the Citizens Budget Advisory Committee and the Superintendent s Budget Advisory Council (BAC). This advisory group is composed of representatives from the organizations mentioned above. The BAC meets several times as necessary throughout the months of November and December to review budget requests within the context of available resources and makes recommendations for funding initiatives to the Superintendent. During January, the Superintendent will ultimately determine an overall plan total package that best reflects the school division's mission and vision. Near the end of January of each year, the Superintendent presents this financial plan to the School Board, as required by state law. This ends the first or proposed phase of the budget. The second, or advertised stage of the budget calls for consideration of the Superintendent's proposal by the School Board. Through a series of budget work sessions, public hearings and reports from the Citizens Budget Advisory Committee and the Superintendent s Budget Advisory Committee, the School Board solicits input with which to develop a budget request to be submitted to the governing body, the Board of Supervisors. The County Charter requires the Superintendent to submit to the County Administrator an estimate of projected revenues and expenditures for the next fiscal year in a form requested by the County Administrator no later than March 1 of each year. In recent years, the prescribed format has been a budget that is balanced within projected available revenues. The Board of Supervisors also conducts a series of work sessions and public hearings as it develops the county s budget, which it is required by County Charter to approve, including the School Board s annual financial plan, no later than May 1 of each year. The School Board will then approve its annual financial plan in final form, based on the County's adopted budget, incorporating any changes that may have taken place since the time the advertised plan was approved. Page 84

91 ORGANIZATIONAL SECTION The Capital Improvement Plan process runs concurrently with the process for developing the operating budget. The Plan is developed in close coordination with Chesterfield County, who determines the availability of CIP funds in accordance with the Board of Supervisors established financial policies. The State Code of Virginia and the County charter require the development of a five year plan. For FY2015 and the successive years, the School Board elected to develop a nine-year plan to include a revitalization plan for a number of schools. The plan also includes major maintenance to extend the useful life and maintain the security of our facilities, as well as a blended learning initiative and technology replacement plan. The plan is updated annually and aligned with the County s adopted Comprehensive Plan and Public Facilities Plan. The Capital Improvement Plan receives public scrutiny and input similar to the operating budget process and is approved on a similar schedule. The budget process is finalized each year with Board of Supervisors approving a budget by state appropriation category for the school division and adopting an appropriations resolution under which the School Board operates for a given year. The FY2015 Appropriations resolution (sections pertaining to schools only) is shown below. FY2015 APPROPRIATIONS RESOLUTION A RESOLUTION TO APPROPRIATE DESIGNATED FUNDS AND ACCOUNTS FROM DESIGNATED ESTIMATED REVENUES FOR FY2015 FOR THE OPERATING BUDGETS AND THE CAPITAL IMPROVEMENT PROGRAM FOR THE COUNTY OF CHESTERFIELD, VIRGINIA BE IT HEREBY RESOLVED by the Board of Supervisors of the County of Chesterfield: That for the fiscal year beginning on the first day of July 2014 and ending on the thirtieth day of June 2015, the following sections shall be adopted: Sec. 1 The following designated funds and accounts shall be appropriated from the designated estimated revenues to operate and provide a capital improvement program for the county. It is the intent of the Board of Supervisors that general property taxes levied on January 1, 2014, and due December 5, 2014, be appropriated for FY2015. School Operating Fund Estimated Revenue: Local Sources $23,850,600 State 240,757,600 Federal 32,055,200 Transfer from School Operating 647,600 Transfer from School Food Service 1,000,000 Use of Reserve 1,250,000 Transfer from General Fund: State Sales Tax 58,248,300 Local Taxes 241,010,600 Prior Year Revenue 6,883,700 Grounds Maintenance 1,831,100 Total General Fund 307,973,700 Use of Assigned Fund Balance 1,000,000 Total Revenues and Funding Sources 608,534,700 Appropriations: Instruction 410,396,000 Administration, Attendance & Health 21,281,200 Pupil Transportation 32,574,300 Operations & Maintenance 56,322,400 Technology 12,338,000 Debt Service 42,860,100 Food Service 25,155,900 Grounds Maintenance 1,831,100 Transfer to and/or Assignment for School Capital Projects 5,775,700 Total Appropriations $608,534,700 Page 85

92 ORGANIZATIONAL SECTION Sec. 2 Appropriations in addition to those contained in the general appropriation resolution may be made by the Board only if there is available in the fund an unencumbered and unappropriated sum sufficient to meet such appropriations. Sec. 3 The County Administrator may, as provided herein, except as set forth in Sections 7, 12, 13, 14, 15, 16, 18 and 23 authorize the transfer of any unencumbered balance or portion thereof from one classification of expenditure to another within the same department or appropriation category. Unless otherwise provided below, the County Administrator may transfer up to $50,000 from the unencumbered appropriated balance and prior year end carry forward assignments from one appropriation category (including assigned fund balance) to another appropriation category. No more than one transfer may be made for the same item causing the need for a transfer, unless the total amount to be transferred for the item does not exceed $50,000. Sec. 4 The County Administrator may increase appropriations for non-budgeted revenue that may occur during the fiscal year as follows: a) Insurance recoveries received for damage to any county property, including vehicles, for which County funds have been expended to make repairs. b) Refunds or reimbursements made to the county for which the county has expended funds directly related to that refund or reimbursement. c) Revenue not to exceed $50,000. Sec. 5 All outstanding encumbrances, both operating and capital, in all county funds up to $15 million, at June 30, 2014 shall be an amendment to the adopted budget and shall be reappropriated to the 2015 fiscal year to the same department and account for which they were assigned in the previous year subject, if applicable, to any public hearing requirements. At the close of the fiscal year, all unassigned appropriations lapse for budget items other than: capital projects; general fund transfers for capital projects and grants; construction assignments for capital projects; assignments for county and school future capital projects; other use of restricted, committed, or assigned fund balances; District Improvement Funds; donations restricted to specific purposes; federal and state grants, PPTRA revenues; other revenue and program income; revenue recovery funds; Title IV-E funds; cash proffers; all tax revenues received for special assessment districts and interest earnings thereon; Fire and Emergency Medical Services apparatus funding; Economic Development incentive funds; actual transient occupancy tax revenues received and budgeted expenditures in connection with the Richmond Convention Center; and refunds for off-site and oversized water and wastewater facilities. Any funds budgeted in a given fiscal year that are specifically budgeted to add to an assignment of fund balance shall be automatically authorized to be assigned during the year end audit process. All excess revenues and any unspent appropriations in the telecommunications program is authorized to become an automatic assignment for future telephone system upgrades. All revenues from the increased vehicle registration fee received in excess of those budgeted for the state revenue sharing program shall automatically be authorized as an assignment of fund balance at year end. Sec. 6 Appropriations designated for capital projects will not lapse at the end of the fiscal year. The County Administrator may approve transfers between funds to enable the capital projects to be accounted for correctly. Upon completion of a capital project, staff is authorized to close out the project and transfer any remaining balances to the original funding source. The County Administrator may approve construction contract change orders up to an increase of $49,999 and approve all change orders for reductions to contracts. The Board of Supervisors must approve all change orders of $50,000 or more or when the aggregate of all changes to a contract exceeds 10% of the original contract amount or 20% if the original contract is for less than $500,000. Sec. 7 The County Administrator is authorized to approve transfers among Utilities funds and capital projects as long as funding sources are consistent and total net appropriation is not increased. Should the actual contract price for a project be less than the appropriation, the County Administrator may approve the transfer of excess funds back to the original funding source upon completion of the project. Sec. 8 Upon completion of a grant program, the County Administrator is authorized to close the grant and transfer balances back to the funding source. The County Administrator is authorized to reprogram Community Development Block Grant funds by closing program cost centers and transferring funding to newly approved programs based on adoption by the Board of Supervisors. Sec. 9 The County Administrator may reduce revenue and expenditure appropriations related to programs, functions, capital projects, grants, or departments to the level approved. Sec. 10 The Director of Accounting is authorized to make transfers to various funds for which there are transfers budgeted. The Director shall transfer funds only as needed up to amounts budgeted, or in accordance with any existing bond resolutions that specify the manner in which transfers are to be made. Page 86

93 ORGANIZATIONAL SECTION Sec. 11 The Treasurer may advance monies to and from the various funds of the county to allow maximum cash flow efficiency. The advances must not violate county bond covenants or other legal restrictions that would prohibit such an advance. The Treasurer may also advance cash in support of employee benefit accounts. Sec. 12 The County Administrator is authorized to make expenditures from Trust & Agency Funds for the specified reasons for which the funds were established. In no case shall the expenditure exceed the available balance in the fund. Sec. 13 The County Administrator is authorized to transfer among appropriation categories and/or appropriate funds and assignments of fund balance in excess of $50,000 for supplemental retirement, Workers Compensation, healthcare for retirees and other compensation-related costs, as well as for transfers to departments to cover energy/fuel costs. Sec. 14 The County Administrator may appropriate revenues and increase expenditures in excess of $50,000 for funds received by the county from asset forfeitures for expenditures related to drug enforcement or other allowable expenditures. The balance of these funds shall not lapse but be carried forward into the next fiscal year. Sec. 15 The County Administrator may increase the general fund appropriation in the School Operating Fund contingent upon availability of funds and other circumstances, based on the following schedule: a) Increase general fund transfer/appropriation on December 15 by $3,000,000. b) Increase general fund transfer/appropriation on February 15 by $3,000,000. c) Increase general fund transfer/appropriation on May 5 by $3,000,000. And furthermore, as the general fund appropriation includes funding for school debt service associated with an increase in the real estate tax rate, the County Administrator shall be authorized to reserve at year end, actual collections of tax revenue associated with the increase in the real estate tax rate for the purposes of funding school s debt service. The reserve will be automatically made an assignment from the general fund balance and held in the general fund. The County Administrator is authorized to transfer funds from the reserve to the school division as is needed from year to year to cover the increased costs of debt service in the school fund. Sec. 16 The County Administrator is authorized to reallocate funding sources for capital projects, arbitrage rebates/penalties, and debt service payments and to appropriate bond interest earnings to minimize arbitrage rebates/penalties, including the appropriation of transfers among funds to accomplish such reallocations. Budgets for specific capital projects will not be increased beyond the level authorized by Sections 3 and 4. The County Administrator is authorized to transfer cash proffers among capital projects to ensure spending in a timely manner as long as the capital improvement program net appropriation is not increased. Sec. 18 The County Administrator is authorized to approve transfers among funds and capital projects as long as total net appropriation is not increased. Sec. 20 Upon adoption of this resolution, the School Board and/or the School Superintendent may make expenditure and revenue changes within the school operating funds as follows: a) Transfers of $50,000 or less are subject to the approval of the Superintendent. b) Transfers of $50,001 to $499,999 require the approval of the Superintendent and the School Board. c) Transfers of $500,000 or more require the approval of the Superintendent, the School Board, and the Board of Supervisors. The School Board and/or the School Superintendent shall prepare a budget status report reflecting changes to the approved school budget between appropriation categories, as amended, and the report shall be presented to the County Administrator quarterly. Amending the Adopted Budget The State Code of Virginia permits appropriation either by lump sum or by category. The governing body approves the Chesterfield County School Board's budget in the appropriation categories prescribed by the State Board of Education in accordance with the State Code of Virginia; i.e., (i) instruction, (ii) administration, attendance and health, (iii) pupil transportation, (iv) operations and maintenance, (v) school food services and other non-instructional operations, (vi) facilities, (vii) debt and funds transfers, (viii) technology, and (ix) contingency reserves. The School Board, however, has been granted the authority by the Board of Supervisors to make expenditures and incur obligations for specific purposes beyond the funding level of an appropriation category as delineated in Chesterfield County s FY2015 Appropriations Resolution above. Page 87

94 ORGANIZATIONAL SECTION In addition, School Board Policy 7120 states: BUDGET - FUNDS TRANSFERS The adoption of the budget by the School Board includes the authority for the administration to make expenditures as appropriated by the Appropriation Resolution approved by the Board of Supervisors. Such appropriation may relate to its total only or to such major classifications prescribed by the State Board of Education pursuant to Va. Code Transfers between major object groups within a department/school or from one department/school to another in the same major classification shall require the approval of the Superintendent or the Superintendent's designee. In the event that the Board of Supervisors appropriates by major classifications and grants authority to the Superintendent and/or the School Board to transfer a portion of the funds from one major classification to another without the further approval of the Board of Supervisors, such transfer, or successive transfers, may be accomplished as authorized and limited by the Appropriation Resolution. In no event shall a major classification transfer exceeding $50,000 occur without the prior approval of the School Board. Major classification transfers approved by the Superintendent shall be reported to the School Board at its next occurring regular meeting. Proposed transfers in excess of the dollar limitations established in the Appropriation Resolution shall be submitted to the Board of Supervisors for prior approval. A budget status report reflecting changes to the adopted budget, as amended, shall be presented to the School Board and the Board of Supervisors as necessary, but no less often than semi-annually. Changes to major classifications, if any, shall be included in this report. Adopted: December 8, 2009 Page 88

95 ORGANIZATIONAL SECTION Membership (M) ALLOCATION OF HUMAN AND FINANCIAL RESOURCES Projected September 30 membership is used to determine the majority of the staffing and materials allocations for each school for the budget year. The projected membership and for the fall of 2014 (FY2015), as well as comparisons to actual September 30 membership in prior years, are shown below. FY2013 FY2014 FY2015 Change Actual Actual Projected From Membership Membership Membership FY2014 Elementary 25,788 25,977 26, Middle 13,991 13,914 13, High 18,732 18,826 18,732 (94) TOTAL 58,511 58,717 58, Average Daily Membership (ADM) Projected March 31 average daily membership is used as the basis for projecting the distribution of Basic School Aid to the school division from the state. The projected March 31 ADM for FY2015 and comparisons to March 31 ADM in prior years are shown below. FY2013 FY2014 FY2015 Change Actual Actual Projected From ADM ADM ADM FY2014 Elementary 25,675 25,863 26, Middle 13,926 13,853 13, High 18,647 18,743 18,648 (95) TOTAL 58,248 58,459 58, Staffing Instructional staffing across individual schools is allocated primarily on School Board-approved standards that meet or more often exceed state staffing standards. The School Board staffing standards are applied using projected student membership (as described earlier) to develop the staffing allocations for the budget year. These staffing allocations may be adjusted during the summer after approval of the budget if more accurate membership data warrants a change. In addition, teaching positions are provided beyond those generated by the staffing standards to reduce pupil-teacher ratio in targeted schools as described below. As a part of the FY2015 budget, a process was initiated for the purpose of decreasing the pupil to teacher ratio (PTR) to be better aligned with other divisions across Virginia. For FY2015, the school division was provided with 111 full time equivalent (FTE) teaching positions to reduce class sizes K 12 and expand elective offerings at the secondary level. Based on the allocation of the FTEs, the PTR was essentially reduced by an average of one at the elementary level (from 25:1 to 24:1), the middle school level (from 27:1 to 26:1) and the high school level (from 26:1 to 25:1). However, the impact is intended to be targeted, making it greater in some schools and content areas than others. A detailed presentation of both of these staffing allocations can be found in the Information Section. Page 89

96 ORGANIZATIONAL SECTION Benefits The following rates were used to calculate the School Board's cost of benefits for the budget year (compared to the current year s rates): FY2014 FY2015 Retirement (professional) 12.77% 15.56% Retirement (non-professional) 11.48% 10.90% Group Life Insurance 1.19% 1.19% FICA (social security) 7.65% 7.65% Health/Dental Insurance (estimate per employee) $5,160 $5,219 Estimates for the following employee benefits are calculated based on history: Worker's Compensation Unemployment Compensation Annual Leave Sick Leave School Materials Allocation Per pupil allocations for materials and supplies are distributed to the schools for budget purposes based on projected September 30 membership for the coming year. These allocations are adjusted (in October of the budget year) upward for each additional student in actual September 30 membership beyond the projection and downward for each student in actual September 30 membership less than the projection. An increase is calculated with the first additional student in actual membership; a reduction does not take effect until the student loss exceeds one percent (1.0%) of total membership. Each year, school principals receive a budget allocation based on the projected number of students in membership and the applicable per pupil allocations. From that allocation, the principal develops a financial plan that best reflects the needs of the school community. The allocations are per-pupil based on the projected number of students in September 30 membership (unless otherwise indicated) and are shown below: Per Pupil Allocations: Elementary $51.43 Middle $57.34 High $51.35 Technical Centers $51.35 These per pupil allocations include funding for instructional supplies, travel, dues and memberships, the library, capital equipment, and medical supplies. Page 90

97 ORGANIZATIONAL SECTION Library Add-on Each school receives additional funding to support fixed costs for the library, such as equipment maintenance and periodical subscriptions. The purpose of this add-on funding is to provide the means for schools to use the library per pupil allocation entirely for the development and replacement of electronic and print collections. The allocation per school is shown below: Elementary $ Middle $1, High $1, There are several other allocations that are based on criteria other than total number of students. They are: Supplies for audio-visual equipment: (Per school allocation) Elementary $ Middle $ High $ Technical Center $ English for Speakers of Other Languages (ESOL) Allocation: (Per ESOL student in September 30 membership) Elementary $ 8.00 Middle $ 8.00 High $ 8.00 Departments Each department receives a target operating allocation at the beginning of the process that is based on the prior year s adopted budget, less any one-time expenses and other adjustments. Likewise, the staffing allocation is based on the staffing level approved in the prior year s budget, adjusted for any changes that may have taken place after the budget was adopted. Fixed Charges There are a number of recurring costs included in the budget each year, most of which are not considered part of a particular school or departmental budget. Some examples of these costs are debt service, charges for county-provided services, and salary lapse. All of the fixed charges are calculated and/or included in the budget by the Office of Management and Budget. Page 91

98 ORGANIZATIONAL SECTION BUDGET ADMINISTRATION AND MANAGEMENT PROCESS The monitoring of the fiscal year revenues and expenditures is an ongoing responsibility of the Office of Management and Budget. Revenues are monitored to ensure that actual receipts are posted and that adjustments are made to individual revenue accounts when the revenue budget and actual receipts do not agree. Expenditures are monitored to ensure they do not exceed appropriated amounts and that they are expended for intended, appropriate, and legal purposes. Revenues: The School Division receives revenues from federal, state, and county sources as well as from tuition and fees for instructional programs such as online learning, summer school, adult education and driver education. Most federal and state revenues are received via electronic transfer, the county fund transfer is posted monthly by the county, and other revenues are received by check or cash and are posted on a daily basis by the Chesterfield County Accounting Office. After recording all receipts, they are forwarded to the county government s treasurer s office for posting and deposit. Reconciliation of revenue receipts with the financial reporting system is done on a monthly basis, and any required adjustments are completed monthly or more often as needed. Requests for adjustments to the revenue budget are submitted in writing to the Office of Budget for processing based upon guidelines determined by the County Board of Supervisor appropriation resolution. Revenue reports can be generated from the budgeting and accounting application on a real time basis to provide departments with assistance in budget management. Expenditures: Although each department or school administrator is responsible for the maintenance of the department or school budget, the school division s accounting software application prohibits a school or department budget from over-expending. Two appropriation unit designations are assigned to each school or department budget. One of these units controls the expenses for salaries and benefits; the other controls the expenses for all other budgeted expenses. When the total budgeted appropriation amount is obligated, the accounting system prohibits the school or department from entering a purchasing or payment document. Each school and department has on-line access to budget and expense data necessary for the day-to-day management of its budget. Expenditure reports can be generated as needed, and are available to individual schools and departments through an online software application. School/department administrators may reallocate budgeted non-position funds within their budgets through online access to the mainframe accounting software. These intra-school/department budget reallocations are approved or denied online by the Office of Budget based upon guidelines determined by the Director of Management and Budget. Requested reallocations between schools/departments are submitted in writing to the Office of Budget for review, approval, and processing. Reporting: The School Division prepares the Annual School Report for the Virginia Department of Education as well as a number of other state financial reports throughout the fiscal year. As part of the county audit process, the school division s Office of Management and Budget provides the results of all funds under School Board authority to County Accounting in order to prepare the Comprehensive Annual Financial Report (CAFR). Page 92

99 Financial Section

100 FINANCIAL SECTION FINANCIAL SECTION The Financial section includes revenue and expenditure summaries, as well as FTE data, for all funds, and highlights significant revenues and expenditures and changes therein. It also includes data supporting the approved 9-year Capital Improvement Plan. Page 93

101 FINANCIAL SECTION FUND SUMMARY ALL FUNDS Revenues FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 21,004,808 22,629,852 21,252,115 23,830,700 25,205,550 1,689,850 State 206,423, ,846, ,108, ,194, ,757,602 16,563,002 State Sales Tax 48,440,160 50,563,395 55,340,750 58,084,600 58,248, ,700 Federal 45,111,943 42,920,415 33,932,975 33,034,100 31,805,248-1,228,852 Transfers 239,390, ,648, ,208, ,912, ,193,700 14,281,300 Bond Refunding - 53,383, Beginning Balance 72,029,536 70,584,965 55,539,718 1,000,000 1,000, ,399, ,577, ,382, ,056, ,525,400 31,469,000 State 38.2% FY2014 State Sales Tax 9.9% Federal 5.6% State 38.9% FY2015 State Sales Tax 9.4% Federal 5.1% Local 3.8% Beginning Balance 0.2% Transfers 42.3% Local 4.1% Beginning Balance 0.2% Transfers 42.3% Expenditures FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Fund Actuals Actuals Actuals Adopted Adopted Difference Operating 563,504, ,996, ,789, ,509, ,304,500 32,795,100 Grants 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 Federal Food Service 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 Non-Federal Food Service 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 Page 94

102 FINANCIAL SECTION Expenditures Appropriation Category FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Description Actuals Actuals Actuals Adopted Adopted Difference 61 Instruction 423,356, ,362, ,640, ,641, ,113,900 26,472, Admin / Attendance & Health 18,091,782 18,288,017 19,624,749 21,254,000 21,301,800 47, Pupil Transportation 27,821,311 29,391,545 31,691,586 29,618,700 32,616,000 2,997, Operation & Maintenance 65,202, ,602,551 60,734,664 59,033,700 59,703, , Food Services 37,099,559 22,035,052 39,288,750 24,876,000 25,975,100 1,099, Technology - Schools 13,043,754 28,942,530 13,787,957 14,273,000 14,955, , Debt Service 47,784,299 98,955,563 44,613,946 43,360,000 42,860, ,900 Total All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 Instruction $ % FY2014 ($ in Millions) Admin / Attendance & Health $ % Debt Service $ % Technology - Schools $ % Food Services $ % Operation & Maintenance $ % Pupil Transportation $ % Instruction $ % FY2015 ($ in Millions) Debt Service $ % Admin / Attendance & Health $ % Technology - Schools $ % Food Services $ % Operation & Maintenance $ % Pupil Transportation $ % Page 95

103 FINANCIAL SECTION Page 96 EXPENDITURES BY FUNCTION ALL FUNDS FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Function Description Actuals Actuals Actuals Adopted Adopted Difference Classroom Instruction 278,333, ,823, ,508, ,555, ,302,813 17,746, Classroom Instruction - ESL 3,778,257 3,937,204 4,259,112 4,300,867 4,602, , Classroom Instruction - Driver Ed 699, , , , ,364-1, Classroom Instruction - Alt Ed 2,375,047 2,417,003 2,369,864 2,617,220 2,560,458-56, Classroom Instruction - Family Life 627, , , , ,557 28, Classroom Instruction - Gifted 3,638,732 3,505,735 3,649,207 3,665,081 4,060, , Classroom Inst - Comp Services 1,197, , , ,300 1,221, , Classroom Instruction Spec Ctr 680, , , , ,786 10, Classroom Instruction - Safety Net 252, , , , , , Retiree Health Benefits ,731,085 12,355,256 1,624, Classroom Instruction Det Home 824, , , , ,478-63, Classroom Inst - Parent Res Ctr 110, , , , ,164 5, Classroom Inst Career Training 254, , , , ,641 10, Classroom Inst Online Learning 426, , , , , , Classroom Inst - Summer School 1,816,214 1,792,952 1,832,955 1,904,977 1,902,727-2, Classroom Inst - Adult Ed 613, , , , ,374 5, Student Support-Guidance Adm 58, , , , ,512 6, Student Support-Guidance Ser 11,486,795 12,017,665 12,563,855 12,767,563 13,228, , Student Support-Student Conduct 499, , , , ,679 20, Student Support-Record Maint 15,347 4,254 2,329 7,860 7, Student Support - Soc Work Srvs 1,724,119 1,841,321 1,717,643 1,827,032 1,884,676 57, Student Support - Homebound 1,035,438 1,101,732 1,391,881 1,070,889 1,407, , Staff Support - Administration 4,990,619 5,910,174 6,170,576 6,091,963 6,297, , Staff Support - Mgt & Direction 2,967,843 2,792,618 3,221,778 3,472,414 3,374,174-98, Professional Development 684, ,456 1,021,469 1,106,298 1,336, , Staff Support - Library Admin 559, , , , ,147 10, Staff Support - Library Services 7,963,808 7,991,933 8,486,613 8,849,967 9,139, , Staff Support - Tech Support ,351 81, Staff Support - Tech Coord 36, , , , ,641 23, Staff Support - Leadership 242, ,566 61,363 69,357 72,232 2, School Site Management 29,917,503 31,373,301 32,902,828 33,262,254 34,586,297 1,324, School Site Mgmt - Safety 98, , , Instruction - Budgetary Control 65,447,652 9,573,786 33,290,311 5,356,779 8,036,330 2,679, School Board Mgmt & Direction 327, , , , , , Office Of Superintendent 695, , , , ,952 41, School Board Attorney 104, , , , ,280 6, Business & Gov t Relations Information Services M&D 654, , , , ,722 34, Community Relations Internal Srvs 8,400 6,284 5,717 21,000 66,000 45, Human Resources - Mgmt & Dir 246, , , , ,952 11, Human Resources - Personnel 1,498,502 1,588,374 1,609,849 1,723,947 1,779,018 55, HR - Compensation & Benefits 693, , , , ,416 23, Human Res - Recertification 47,765 55,869 54,066 10,000 10, Human Resources - Wellness 179, , , , , , Human Res - Systems 64,287 66,797 70,868 70,831 73,745 2, Planning Mgt & Direction 274, , , , , School Improvement - Census School Improvement / Tech Supp 826, , ,706 1,098,034 1,134,583 36, School Improvement / Tech 51,469 64,812 68, Finance - Asst Supt 1,007, , ,362 1,090, , , Finance - Management & Budget 529, , , , ,919 36, Finance - Finance / Payroll 1,814,598 1,794,632 1,990,100 1,971,097 2,037,561 66, Finance - Technology 185, , , , ,586 8, Finance - Internal Auditor 106,054 46,775 95,481 93,200 94,400 1, Finance - Purchasing 556, , , , ,731 26, Admin / A&H - Budgetary Control 471, , , , , , Finance - School CIP Mgmt 878, , , , ,552 38, Pupil Services Administration 308,468 59,895 41,916 25, ,085 91, Pupil Services Medical 4,040,979 4,049,832 5,084,218 5,463,571 5,460,764-2, Pupil Services Psychological Srvs 2,518,285 2,579,846 2,704,279 2,703,414 2,870, ,388

104 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Function Description Actuals Actuals Actuals Adopted Adopted Difference Pupil Transportation - Admin 1,193,872 1,276,697 1,308,013 1,201,154 1,103,768-97, Pupil Trans - Vehicle Operations 17,722,878 17,949,892 20,552,422 18,151,068 21,400,807 3,249, Pupil Trans - Vehicle Maintenance 8,427,792 9,382,856 9,121,739 9,858,624 9,509, , Pupil Trans - Budget Control 476, , , , , , O & M Administration 1,217,176 1,430,009 1,488,949 1,489,222 1,541,747 52, O & M Building Services 18,824,377 18,994,425 19,955,667 22,778,670 21,768,167-1,010, O & M Build Srvs Supervisor Srv 425, , , , ,705-7, O & M Build Srvs Trades 2,019,100 2,022,807 2,140,718 2,178,118 2,224,798 46, O & M Bldg Srvs Rental 257, , , O & M Bldg Rental P & R 69,422 72,583 76, O & M Utilities 12,257,511 12,408,691 12,265,045 13,531,470 13,648, , O & M Building Maintenance 5,027,750 4,376,242 4,306,862 5,314,236 4,979, , O & M Bldg Maint - HVAC 1,044,217 1,070,346 1,101,927 1,147,368 1,164,537 17, O & M Maint - Plumbing 417, , , , ,742 6, O & M Maint - Boilers 210, , , , ,660 3, O & M Maint - Electricians 474, , , , ,782 5, O & M Maint - Water Treatment 102,840 91,955 95,567 94,517 95,909 1, O & M Maint - Energy Monitoring 227, , , , ,467 3, O & M Maint - Kitchen Equip 400, , , , ,272 6, O & M Maint - Carpentry 267, , , , ,911 4, O & M Maint - Signs & Cabinets 59,850 61,110 63,039 63,178 64, O & M Maint - Roofing 203, , , , ,007 3, O & M Maint - Mobile Classroom 154, , , , ,738 2, O & M Maint - Locksmith 142, , , , ,388 2, O & M Maint - Fire / Shop Equip 263, , , , , O & M Maint - Painting 187, , , , ,617 2, O & M Maint - Welding O & M Maint - Pest Control 93,903 99, ,880 98, ,304 1, O & M Maint - Asbestos 59,224 58,557 59,279 58,421 59, O & M Maint - Glass Repair 137, , , , ,516 2, O & M Maint - Masonry 54,167 55,370 57,058 57,147 57, O & M Maint - AV Equip Repair 345, , , , ,400-8, O & M Maint - Office Mach Repair 379, , , , ,351 6, O & M Maint - Small Motor Repair 50,238 51,141 52,896 52,175 52, O & M - Vehicle Maintenance 54,732 55,731 57,563 56,880 57, O & M - Equipment Operating 327, , , , ,228 5, O & M - Environmental Health 173, , , , ,734 7, O & M - Grounds 1,950,057 1,816,213 1,846,502 1,854,400 1,841,100-13, O & M - Vehicle Services 1,218,064 1,337,491 2,126,909 1,458,527 1,370,007-88, O & M - Security Services , ,292 65, O & M - Warehouse Services 263, , , ,750 56, , O & M - Warehouse Operations 911, , , , , , O & M - Postal Operations 779, , , , ,319 5, O & M - Budgetary Control 14,147,596 64,524,684 7,584, ,676 3,140,100 2,382, FS - Fed Operating Mgmt 856, ,483 1,106,445 1,147,250 1,155,653 8, FS - Fed Cafeteria Operations 28,928,674 13,655,227 31,503,226 18,367,076 19,291, , Non - Fed Food Ser Operating 6,602,836 6,328,999 6,069,237 4,320,070 4,421, , Food Service Vending 196, , , , , , Non - Fed FS Vending 515, , , , ,367-40, Classroom Technology 3,339,645 1,561,415 2,818,440 2,189,532 2,072, , Classroom Inst - Technology 802, , , , ,285 48, Technology Inst Support 5,552,933 5,770,083 7,235,654 7,367,296 7,857, , Technology Administration 3,175,915 2,686,909 2,698,591 3,196,420 3,686, , Food Service - Technology 172,856 18,134, , , , , Debt Service 47,784,299 98,955,563 44,613,946 43,360,000 42,860, ,900 Total All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 Page 97

105 FINANCIAL SECTION EXPENDITURES BY OBJECT ALL FUNDS FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Board Member 85,084 84,400 84,323 83,778 85, Superintendent 193, , , , ,883 5, Assistant Superintendent 409, , , , ,081-8, Director FT 1,901,086 2,144,230 2,198,504 2,294,686 2,219,745-74, Asst Director FT 1,631,893 1,826,264 1,828,532 2,000,745 1,922,244-78, Supervisor FT 1,316,331 1,499,786 1,503,699 1,766,994 1,737,943-29, Tech Database Admin FT 180, , , , ,418 3, Other Admin Staff FT 659, , , , ,842-28, Teacher FT 174,096, ,166, ,141, ,092, ,715,794 8,623, Librarian FT 4,762,062 4,561,655 4,640,964 5,236,036 5,312,063 76, Guidance Counselor FT 8,012,543 8,273,250 8,277,601 8,864,808 9,011, , Inst Specialist FT 1,872,407 2,030,585 2,153,356 2,426,094 2,621, , Principal FT 4,663,010 5,062,778 5,333,041 5,817,913 5,942, , Assistant Principal FT 6,480,610 6,431,541 6,442,297 6,953,220 7,029,799 76, Admin Asst FT 1,144,221 1,474,335 1,525,295 1,452,395 1,565, , Other Inst Staff FT 1,069, ,878 1,151,147 1,374,077 1,400,322 26, Technology Integrator FT 1,945,032 1,895,506 1,821,377 2,084,374 2,098,800 14, Other Professional FT 2,011,918 2,312,711 2,472,451 2,639,758 2,805, , Nurse FT 304, , , , ,095 19, Psychologist FT 1,781,958 1,852,074 1,867,840 1,999,554 2,081,437 81, Ed Diagnostician FT 538, , , , ,072 12, Ed Liaisons FT 1,333,781 1,239,627 1,290,058 1,363,009 1,395,186 32, Occupational Phys Therapy FT 1,160,716 1,090,934 1,116,655 1,225,900 1,149,120-76, Social Worker FT 1,169,009 1,247,139 1,181,265 1,327,300 1,339,980 12, System Analyst Programmer FT 2,716,595 2,900,324 3,027,472 3,349,420 3,455, , Accountant Auditor FT 396, , , , ,298 55, Security Guard FT 753, , , , ,663 40, Home Family Educator FT 79,366 88,283 80, , , Center Based Educator FT 269, , , , ,349-25, Hearing Impaired Interpreter FT 550, , , , ,897 11, Clerical FT 10,438,328 10,740,623 10,961,937 12,096,265 12,217, , Inst Aide FT 13,005,480 12,805,538 12,883,122 14,647,841 14,753, , Tech Resource Asst FT 510, , , , ,398 19, Clinic Aide FT 970, ,178 1,008,207 1,111,393 1,151,592 40, Printer FT 144, , , , ,201 3, Trades Crafts FT 5,468,287 5,484,550 5,562,976 6,339,190 6,465, , Bus Driver FT 9,338,875 9,507,247 9,581,947 10,471,502 10,748, , Equipment Operator FT 359, , , , ,649 9, Custodian FT 9,670,304 9,748,978 9,995,474 11,413,117 10,239,851-1,173, Warehouse FT 622, , , , , , Food Svc Manager FT 1,821,183 1,806,323 1,794,185 2,004,132 2,209, , Other Salaries Nonexempt , Salaries/Wages - Regular 275,839, ,354, ,216, ,545, ,507,437 8,962, Salaries And Wages Overtime 2,819,665 2,986,508 3,153, , ,600-7, Clerical Overtime 4,012 2, ,207 9,207 1, Inst Aide Overtime , , , Printer Overtime ,920 2, Trades Crafts Overtime , , Trades Asst Overtime ,600 19, Bus Driver Overtime 7,851 1, ,062,796 1,367, , Equipment Operator Overtime ,460 75, Custodian Overtime ,133,687 1,133, Warehouse Overtime ,740 12, Food Svc Manager Overtime 5,332 9,159 9,310 9,050 9, Food Svc Worker Overtime Salaries/Wages - Overtime 2,836,860 2,999,979 3,163,720 3,355,869 3,981, , Salaries And Wages PT ,100 47, Director PT 62,298 68,028 66, Page 98

106 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Teacher PT 2,282,458 2,336,411 2,344,240 2,942,295 2,307, , Librarian PT 34,528 25,324 48,429 43,135 35,492-7, Guidance Counselor PT 117, , , , ,904-51, Administrative Assistant PT 54, , , Other Professional PT 60,806 62,022 62,687 63,318 64,579 1, Nurse PT ,477 80,972 81, Psychologist PT 54,445 21, Ed Diagnostician PT 0 161, , Occupational Phys Therapy PT 69,639 70,557 88,586 71, ,545 94, Social Worker PT 41,100 1, System Analyst Programmer PT 43,102 43,964 43,981 44,435 45, Security Guard PT 43,631 20, Hearing Impaired Interpreter PT 14,450 7, ,338 32, Inst Aide PT 15,843 15,934 16,278 16,784 17, Tech Resource Asst PT 27,184 26,739 28,412 59,625 61,740 2, Printer PT 0 5, Trades Crafts PT 39,565 40,356 38,419 40,779 33,206-7, Custodian PT 134, , , , ,175 6, Food Svc Manager PT 13,929 10,035 25,397 15,500 25,250 9, Food Svc Worker PT 2,058,633 2,038,708 1,979,702 2,676,805 2,739,379 62, Salaries/Wages - Part-time 5,168,729 5,275,131 5,252,196 6,481,336 5,946, , Asst Superintendent, Temp , Director Temp 43,850 48,318 46,108 51,140 51, Asst Director Temp 5,623 56,762 22, Other Administrative Temp 91,130 74, Teacher Temp 4,040,088 3,934,718 4,637,411 3,585,536 4,975,527 1,389, Librarian Temp 49,822 34,942 35,663 40,000 40, Guidance Counselor Temp 85,560 30,558 24, Instruct Specialist Temporary 58,175 59,406 51,331 70,000 75,000 5, Principal Temp 4, ,578 16, Asst Principal Temp 277, , , , ,000-12, Admin Asst Temp 6, Other Instructional Temp 0 30,940 25, Other Professional Temp 135, , ,640 98,066 98, Nurse Temp ,249 65,000 65, Psychologist Temporary 0 5,803 67, OT / PT Temporary 0 0 5, Sys Analyst Programmer Temp 0 0 4, Security Guard Temp 32,824 31,427 26,855 37,535 37, Hearing Imp Interpreter Temp 0 0 1, ESOL Interpreter Temp ,000 13, Clerical Temp 197, , , , , Inst Aide Temp 154, , , , ,543 13, Clinical Aide Temp Printer Temp 5, ,350 6,000 6, Trades Crafts Temp 45,352 33,598 64,538 44,394 44, Bus Driver Temp 134, , , , , , Custodian Temp 116, , , , ,268 34, Warehouse Temp 39,496 31,926 44,452 45,140 45, Food Svc Manager Temp 27,770 37,619 31,181 29,500 36,200 6, Food Svc Worker Temp 64,975 63,091 54,954 63,600 61,000-2, Other Sal Nonexempt Temp 29,627 66,691 43,954 25,000 30,000 5, Other Salaries Temp 342, , , , ,173 14, Salaries/Wages - Temporary 5,989,596 6,274,130 7,023,860 5,407,046 7,025,346 1,618, Teacher Sub 4,299,781 4,232,965 4,472,871 4,170,922 4,601, , Librarian Sub 36,169 32,567 41, Liaison Sub 0 3, Security Guard Sub 2,941 9,078 11, Center Based Edu Sub 10,682 22,409 20, Page 99

107 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Inst Aide Sub 248, , ,761 10, ,100 90, Tech Resource Asst Sub 30,079 30,149 39, Clinical Aide Sub 40,409 25,192 44, Bus Driver Sub 591, , , , , , Custodian Sub 284, , , , , Food Svc Worker Sub 133, , , , ,900 20, Salaries/Wages - Substitutes 5,677,972 5,638,185 5,956,597 4,939,798 5,747, , Teacher Academic Supplement 648, , , , ,073 7, Teacher Athletic Supplement 1,231,521 1,222,927 1,225,904 1,372,430 1,747, , Food Svc Manager Supplement 16,516 50,185 17,755 37,900 34,300-3, Other Salaries Supplement 2,461,280 2,296,814 2,311,861 2,344,293 1,362, , Supplements 4,358,225 4,166,451 4,159,165 4,472,846 3,869, , Superintendent SRP 37,773 37,773 37, Asst Superintendent SRP 55, Director, SRP 67,134 38, Assistant Director SRP 40, Supervisor SRP 95, , Other Admin Staff SRP 19, , Teacher SRP 2,022, ,257 1,095, Librarian SRP 53, ,004 72, Guidance Counselor SRP 91, , Inst Specialist SRP 88,525 29,957 26, Principal SRP 333, ,221 51, Assistant Principal SRP 37,831 70, Admin Asst SRP 15, Other Inst Staff SRP 28, Technology Integrator SRP 95,624 11,325 36, Other Professional SRP 62, Psychologist SRP 81, Edu Diagnostician SRP 18,472 15, Occupational Phys Therapy SRP 0 14, Social Worker SRP 55,363 31,215 10, System Analyst Programmer SRP 155,012 43, Accountant Auditor SRP 32, Security Guards SRP 0 10, Center Based Edu SRP 0 10, Clerical SRP 270, ,860 71, Inst Aide SRP 91,985 39,331 25, Clinical Aide SRP 16,494 16, Trades Crafts SRP 92,329 56,805 16, Bus Driver SRP 48,213 40,158 50, Equipment Operator SRP 10, Custodian SRP 150,773 81,199 63, Warehouse SRP 33, Food Svc Manager SRP , Salaries/Wages - SRP 4,203,163 1,896,853 1,647, Military Leave 31,051 3, , , Annual Leave Payout 1,336, , , , ,500-25, Sick Leave Payout 954, , , , ,000-21, Personal Day Payout 58, , , , ,200 30, Comp Package ,000 20, Salary Lapse ,068,289-5,204, , Other Salaries 0 1, Other Salaries 2,381,372 1,318,875 1,196,082-3,649,339-3,807, , Personal Services 306,455, ,924, ,615, ,552, ,270,400 10,717,761 Page 100

108 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference FICA Expense 21,874,400 22,051,286 22,332,646 24,949,079 25,806, , Social Security 21,874,400 22,051,286 22,332,646 24,949,079 25,806, , VRS Retirement 25,993,842 32,024,488 44,016,778 39,264,782 48,367,954 9,103, VRS Retiree Healthcare Credit 1,422,850 1,506,768 2,875, ,000 3, VRS Retirement Actuarial 5,081 1, Supplemental Retirement 14,769,415 8,263,270 7,961,072 2,500,000 2,500, Retirement 42,191,188 41,795,778 54,853,570 41,764,782 50,870,954 9,106, Anthem Ins Active ,849,736 5,849, Healthkeepers 41,110,208 42,220,143 44,257,029 44,011,401 38,435,707-5,575, Dental Ins Active 1,618,014 1,289,587 1,313, , , Medicare Part D Expense 16,520 13, Medicare Ins Expense 3,263,935 3,727,912 4,244,008 4,000,000 5,200,000 1,200, Health Insurance Reimb 66,153 78, , Health Premiums 46,074,829 47,330,170 49,932,495 48,011,401 50,417,790 2,406, VRS Group Life Insurance 769, ,802 3,399,201 3,694,322 3,801, , Other Employee Benefits 28,500 28,500 40,000 40,000 40, Group Life Insurance 797, ,302 3,439,201 3,734,322 3,841, , State Unemployment Ins VEC 304, ,283 90, , , Unemployment Insurance 304, ,283 90, , , Workers Comp Indemnity 487, , ,622 18, , , Workers Comp Medical And Other 2,599,417 2,864,903 3,333, , , , Workers Comp And Other Chgs 39,837 27,970 70, ,500 8, Workers Comp Exp Year End Adj ,630,000 3,609,900 1,979, Workers Compensation 3,127,066 3,418,573 4,007,119 1,830,000 4,082,461 2,252, Education Tuition Assist Car Allowances 58,250 12,500 12,500 12,500 12, Required Medical Exams 35,253 40,597 44,590 50,000 50, Other Post Employment Benefits 816, ,450 1,000,000 1,000, Other Benefits 910,304 53, ,540 1,062,500 1,062, Employee Benefits 115,280, ,556, ,602, ,477, ,206,419 14,729, Professional Health Svcs 513, , , , ,614 1, Assessment / Evaluation Services ,000 90, Developmental Services 9,366-4, Accounting Auditing Finance 110, ,000 89, , ,300 2, Mgmt Consulting Svcs 58,374 57,359 56,521 42,670 19,658-23, Professional Inservice Training Professional Education Svcs 278, , , , ,938-37, Architectural Svcs 14, Legal Svcs 180,163 98, , , ,210-3, Tech Svcs 102, ,439 44, , ,006 7, Tech Support Svcs ,206 20,000 20, Other Professional Svcs 1,095, , , , , , Professional Services 2,363,401 2,600,796 2,105,731 1,995,379 1,867, , Repair Maint 0 7, Bldg Repair Maint 1,029 60,364 21, Communication Equip Repair Computer Equip Repair Maint , , Electrical Equip Repair Maint 0 0 1, HVAC Repair Maint ,507 1,000 1, Painting Repair Maint 0 0 3, Page 101

109 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Other Repair Maint 57,782 50,459 24,975 58,870 58, Computer Annual Maint Contract Copier Annual Maint Contract , ,300 1, HVAC Annual Maint Contract Office Eq Annual Maint Cont , Software Maint Annual Contract 1,395 1,395 38,995 1,435 39,035 37, Other Maint Svc Cont 2,945,914 2,985,927 3,336,762 3,421,504 3,012, , Maintenance Services 3,006,597 3,107,665 3,452,909 3,482,809 3,323, , Transportation Svcs 8,867 4, , , Transportation Services 8,867 4, , , Printing And Binding Svcs 165, , , , ,929 13, Printing & Binding 165, , , , ,929 13, Media Advertising 58,371 35,285 42,835 32,500 24,350-8, Other Advertising 0 1, , , Advertising 58,371 36,455 42,835 34,700 24,350-10, Laundry And Dry Cleaning Svcs , , Laundry & Dry Cleaning , , Tuition Paid Division Instate 2,600,371 2,605,032 2,516,605 2,484,096 2,484, Tuition Paid Private Schools 54,696 4,460 32,760 30,000 30, Services from Other Gov t 2,655,067 2,609,492 2,549,365 2,514,096 2,514, Fingerprint Fees 0 1,813 4,329 2,500 6,500 4, Permits And Licenses 12,955 10,479 9,536 15,000 15, Indirect Cost Recovery 335, , , , ,900 37, Training Svcs 18,456 35,634 39,588 33,560 32,010-1, Testing Svcs 18,054 16,580 13, ,000 14, Parent Involvement 67,805 33,637 39,810 8,000 40,800 32, Movement Of Trailers 45,898 50, ,847 70,000 70, Food Processing 539, , , , ,000 32, Payment To Parents In Lieu Transp 7,753 7,074 4, Other Contractual Svcs 2,130,483 2,030,470 1,895,880 2,255,656 4,195,812 1,940, Contractual Services 3,176,261 3,035,154 3,124,639 3,274,870 5,334,022 2,059, Purchased Services 11,434,571 11,514,995 11,404,073 11,466,468 13,232,607 1,766, Incty IST Chgs 454, , , , ,700 23, Data Processing 454, , , , ,700 23, Incty Fleet Vehicle Operation 5,221,366 5,638,458 5,269,047 5,777,159 5,466, , Incty Fleet Permanent Lease 1, Incty Fleet Motor Pool 3,878 19,371 9, Incty Fleet Fuel Sales 3,982,245 4,700,268 4,758,956 5,119,868 5,058,700-61, Fleet Services 9,209,356 10,358,749 10,037,339 10,897,027 10,525, , Incty Purchasing Chgs 530, , , , ,900 24, Central Purchasing 530, , , , ,900 24, Incty Print Shop Chgs 272, , , , ,586-44, Central Printing 272, , , , ,586-44, Incty Risk Mgmt Chgs ,039,483 3,243, , Incty Risk Mgmt Self Ins 3,705,700 3,758,800 3,551,900 65, , , Risk Management 3,705,700 3,758,800 3,551,900 4,104,976 4,126,978 22,002 Page 102

110 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Incty Sch Bus Chgs 151, , ,746 86, , , Incty Sch Food Svc Admin 1,210,867 1,316,171 1,445,523 1,754,300 1,679,000-75, Incty Sch Food Svc Cty 54,211 42,384 48,497 51,650 38,660-12, Incty Accounting Chgs 604, , , , , Incty Internal Audit Fee ,481 93,200 94,400 1, Incty Chesterfield Univ Incty Health Services 2,202,400 2,158,300 2,812,700 2,736,100 2,606, , Incty Energy Mgmt Fees 36,500 36,600 22,700 51,300 52,300 1, Incty Grounds Maint 1,938,700 1,792,800 1,818,800 1,844,400 1,831,100-13, Incty Janitorial Svc 7,820 2, , , Incty Telephone Chgs ,400 57, Incty Police Svcs 1,967,274 1,926,600 1,926,600 2,045,500 2,157, , Incty Fireman Chgs 29,404 29,478 29,267 29,600 29, Incty Radio Shop Chgs 22,866 37,468 63,353 27,700 46,250 18, Incty Radio Shop Annual 182, , , , ,944-8, Intra County Services 8,409,055 8,286,073 9,242,434 9,541,725 9,610,719 68, Internal Services 22,581,246 23,691,373 24,209,043 26,013,248 25,735, , Electric Service 8,464,911 8,986,425 9,179,712 9,766,450 9,818,250 51, Heating Natural Gas 1,316, ,036 1,103,656 1,677,598 1,698,973 21, Heating Gas 18,743 10,487 16,524 19,000 19, Heating Propane 312, , , , ,000-30, Water Services 307, , , , ,350 6, Sewer Services 359, , , , ,850 6, Utilities 10,779,845 10,826,125 11,199,531 12,495,548 12,552,423 56, Postal Services 679, , , , ,194-5, Private Courier Charges 865 1, ,500 1,000-1, Telecommunications 812, , , , ,160-17, Wireless Phone Svc Charges 138, , , , ,250 48, Other Local Telephone Service 29,543 29,316 15,461 29,198 22,548-6, Data Lines 510, ,447 1,127,825 1,166,400 1,266, , Long Distance Telephone Chg Communications 2,171,161 2,251,407 2,835,716 2,940,678 3,058, , General Liability Premium 29,134 29,233 27,957 29,750 29, Insurance 29,134 29,233 27,957 29,750 29, Lease Rent Equip 92,935 63,769 67, ,000 88,000-13, Bldg Rent Or Lease 1,450,033 1,378,115 1,588,100 1,454,723 1,273, , Facility Rental 0 5,350 7,792 5,000 7,000 2, Leases/Rentals 1,542,968 1,447,234 1,663,160 1,560,723 1,368, , Mileage 475, , , , , , Education And Conferences 7,097 8,666 5,814 7,655 4,000-3, Lodging 5,425 15,283 15,274 15,000 45,000 30, Air Fares 7,585 15,073 9,596 12, , Other Public Carriers 2, Registration Fees 15,247 34,756 32,241 33,575 26,905-6, Tolls Parking 1,877 1,510 1, Meals Per Diem 1,330 2, , , Misc Travel Exp 765, , , , ,075-77, Travel 1,282,353 1,458,363 1,208,938 1,339,606 1,080, , Contrib To Other Entities 1,025, , ,000 5, Contributions to Other Entity 1,025, , ,000 5, Dues Association Membership 191, , , , ,190-22,321 Page 103

111 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Refunds , Other Chgs And Services 2,404 2,384 1,846 4,600 4, Business Meals 4, Miscellaneous Charges 199, , , , ,190-22, Other Fees And Charges 256, , , , ,600 4, Miscellaneous Fees and Charges 256, , , , ,600 4, Other Charges 17,286,099 17,278,611 17,450,615 18,881,716 18,586, , Office Supplies 429, , , , ,722-25, IST Data Processing Forms Identification Supplies Doc Svcs Printing Forms 1, Testing Supplies ,693 10,629 8,000 10,000 2, Food And Food Srv Supplies 3,628 19,385 9,173 5,500 3,500-2, Food 6,916,412 7,279,106 7,646,765 8,187,435 8,618, , USDA Donated Foods 1,025, ,033 1,023,725 1,150,000 1,150, Agricultural Supplies 10,667 23,413 27,702 10,000 10, Medical And Lab Supplies 6, Exp Laboratory Supplies 0 1, Medical Supplies 56,207 34,422 57,631 33,321 44,316 10, Janitorial Supplies 1,133,709 1,126,274 1,496,187 1,485,020 1,100, , Repair Maint Supply 2,303,223 2,308,584 2,276,207 3,237,685 2,885, , Vehicle Fuel Tires And Tubes 33,907 32,504 49,933 50,000 50, Uniforms 151, , , , ,250-5, Footware 6,371 4,252 5,600 8,250 5,900-2, Books Subscriptions 839,729 1,028, , , ,501 20, Printing Supplies Library Books Recreational Supplies , , Inst Supplies 4,074,099 3,494,201 3,360,264 3,301,951 3,776, , Audio Visual Supplies 47,733 53,804 42,389 42,485 40,127-2, Library Supplies Other Operating Supplies 979,342 1,144,169 1,175,700 1,639,944 2,029, , Exp Software 1,016,517 1,066, ,464 1,046, ,368-58, Photographic Supplies Safety Supplies Electronic Equip Supplies Chemicals 0 4, , , Merchandise For Resale 220, , , , , Textbooks 1,169,558 1,025,550 1,551,237 1,175, , , Supplies 20,425,852 20,430,794 21,262,658 22,898,809 22,931,409 32, Exp Site Improvement , ,000 70, Exp Mach And Equip 26,757 42,328 17,787 45,000 45, Exp Furniture And Equip Rpl 133, , ,459 20,845 18,200-2, Exp Office Equip Rpl 0 15, , , Exp Telecom Equip Rpl 1,728 4,263 1,858 6, , Exp Computer Equip Rpl 37,967 38,081 4,003,110 91, ,000 61, Exp Education Equip Rpl 149, ,439 22, , , , Exp Audio Visual Equip Rpl 6,702 7,630 1,102 6,000 1,000-5, Expendable Equip Replacement 355, ,984 4,320, , , , Exp Furniture And Equip Add 104, ,703 61, , ,160 15, Exp Office Equip Add 4,998 3, Exp Radio Equip Add 10,455 1, , Exp Computer Equip Add 3,993,110 2,220,586 2,727, , ,292 88, Exp Education Equip Add 703, , , , ,580-98,193 Page 104

112 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Exp Audio Visual Equip Add 332, , ,390 74,025 91,176 17, Expendable Equip Additional 5,149,709 2,899,280 3,144,207 1,640,772 1,662,708 21, Inventory Purchases 10, , Inventory Purchases 10, , Fund Balance Funded 67,184,822 73,985,136 40,494,470 2,140,052 2,747, , Fund Balance Unfunded , , Unallocated Appropriation 67,184,822 73,985,136 40,494,470 2,140,052 3,334,155 1,194, Materials & Supplies 93,126,189 98,089,298 69,224,227 27,497,596 28,409, , Pmt To Joint Operations 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Joint Payments 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Joint Operation Payments 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Capital Mach And Equip Rpl 0 77, Capital Furniture Fixture Rpl 0 33,595 22, Capital Office Equip Rpl 0 6, Capital Telecom Equip Rpl 0 0 7, Capital Passenger Vehicle Rpl 128,475 99, , ,000 78,000-22, Capital Computer Equip Rpl , , , Capital Education Equip Rpl 0 256, , , ,000 42, Capital Bus Rpl 83, ,136, ,000,000 2,000, Capital Equipment Replacement 212, ,079 3,707, ,000 2,978,000 2,270, Capital Mach And Equip Add 376, , , , Capital Furniture Fixture Add , Capital Office Equip Add 0 5, Capital Passenger Vehicle Add 12, , Capital Computer Equip Add 180, , , ,160 53,160-73, Capital Software Add 122,250 1,138,266 8, , , Capital Educational Equip Add 405, ,890 92,367 86,239 86, Capital Bus Add 419, ,732 89, Capital AV Equipment Add , Capital Equipment Additional 1,516,046 1,850, , , ,460 40, Site Improvements 0 48, Site Improvements 0 48, Bldg Improvements 1,214, ,021 15,823 50, , , Capital Other 1,214, ,021 15,823 50, , , Capital Outlay 2,943,155 2,563,258 4,657,203 1,075,399 3,685,460 2,610, Bond Principal 30,493,990 29,311,806 29,476,932 28,343,136 28,163, , Lease Purchase Principal 360, , , , , Bond Interest 16,547,313 15,729,679 14,655,976 14,618,484 14,141, , Lease Purchase Interest 69,467 56,183 48,224 33,902 21,595-12, Issuance Costs 101, , ,897 30, , , Arbitrage Exp 247, Other Debt Exp 10,411 6,452 6,918 20,000 20, Debt 47,831,237 45,850,434 44,613,946 43,360,000 42,860, , Debt Services 47,831,237 45,850,434 44,613,946 43,360,000 42,860, ,900 Page 105

113 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Transfer to County 0 181, Transfer to Comp Services Fund 1,197, , , ,300 1,221, , Transfer to Other Funds 1,197,100 1,102, , ,300 1,221, , Transfer to School Special Rev Fund 756, , , , ,600-5, Transfer to School CIP Fund 12,349,715 9,140,966 7,067,793 3,023,200 4,556,600 1,533, Transfer to School Grants / CIP 13,105,838 9,742,309 7,599,646 3,676,000 5,204,200 1,528, Transfers 14,302,938 10,845,066 8,520,746 4,647,300 6,425,300 1,778, Payment To Ref Bond Escrow Agt 0 53,105, Other Bond Expenses 0 53,105, Bonds 0 53,105, Total All Funds 632,399, ,577, ,382, ,056, ,525,400 31,469,000 Page 106

114 FINANCIAL SECTION OPERATING FUND SUMMARY Revenues FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 7,663,940 9,113,729 8,101,740 7,349,750 8,899,700 1,549,950 State 203,165, ,159, ,814, ,433, ,220,400 16,786,992 State Sales Tax 48,440,160 50,563,395 55,340,750 58,084,600 58,248, ,700 Federal 10,127,632 10,869, , , ,000 7,958 Transfers 238,633, ,047, ,676, ,259, ,546,100 14,286,500 Bond Refunding - 53,383, Beginning Balance 55,473,423 51,860,132 37,461,820 1,000,000 1,000,000 0 Expenditures by Appropriation Category 563,504, ,996, ,789, ,509, ,304,500 32,795,100 Appropriation Category FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Description Actuals Actuals Actuals Adopted Adopted Difference 61 Instruction 396,183, ,188, ,166, ,439, ,887,350 28,447, Admin / Attendance & Health 17,378,219 17,844,305 18,923,434 20,553,850 20,706, , Pupil Transportation 27,383,381 29,116,150 31,576,841 29,603,700 32,601,000 2,997, Operation & Maintenance 65,202, ,602,551 60,734,664 59,033,700 59,703, , Technology - Schools 9,571,906 9,288,990 10,774,233 11,518,200 12,546,100 1,027, Debt Service 47,784,299 98,955,563 44,613,946 43,360,000 42,860, ,900 Total Operating Fund 563,504, ,996, ,789, ,509, ,304,500 32,795,100 Instruction $ % FY2014 ($ in millions) Admin / Attendance & Health $ % Debt Service $ % Technology - Schools $ % Operation & Maintenance $ % Pupil Transportation $ % Instruction $ % FY2015 ($ in millions) Admin / Attendance & Health $ % Debt Service $ % Technology - Schools $ % Operation & Maintenance $ % Pupil Transportation $ % Page 107

115 FINANCIAL SECTION Page 108 EXPENDITURES BY FUNCTION OPERATING FUND FY2011 FY2012 FY2013 FY2014 FY2015 Function Description Actuals Actuals Actuals Adopted Adopted Difference Classroom Instruction 254,741, ,604, ,496, ,643, ,635,549 18,991, Classroom Instr - ESL 3,778,257 3,937,204 4,259,112 4,300,867 4,602, , Classroom Instr - Driver Ed 699, , , , ,364-1, Classroom Instr - Alternative Ed 2,375,047 2,417,003 2,369,864 2,617,220 2,560,458-56, Classroom Instr -Family Life 627, , , , ,557 28, Classroom Instr - Gifted 3,638,732 3,505,735 3,649,207 3,665,081 4,060, , Classroom Inst - Comp Services 1,197, , , ,300 1,221, , Classroom Inst - Specialty Center 680, , , , ,786 10, Classroom Inst - Safety Net 252, , , , , , Retiree Health Benefits ,731,085 12,355,256 1,624, Classroom Inst - Detention Home 824, , , , ,478-63, Classroom Inst - Parent Res Cnt 110, , , , ,164 5, Classroom Inst - Career Training 254, , , , ,641 10, Classroom Inst - Online Learning 426, , , , , , Classroom Inst - Summer School 1,816,214 1,792,952 1,832,955 1,904,977 1,902,727-2, Classroom Inst - Adult Education 613, , , , ,374 5, Student Support - Guidance Adm 58, , , , ,512 6, Student Support - Guidance Ser 9,921,065 10,554,859 12,563,855 12,767,563 13,228, , Student Support - Student Conduct 499, , , , ,679 20, Student Support - Record Maint 15,347 4,254 2,329 7,860 7, Student Support - Soc Worker Ser 1,597,194 1,706,446 1,717,643 1,827,032 1,884,676 57, Student Support - Homebound 1,035,438 1,101,732 1,391,881 1,070,889 1,407, , Staff Support - Administration 3,102,512 3,553,082 3,801,201 4,002,909 4,843, , Staff Support - Mgmt & Direction 2,967,843 2,792,618 3,128,412 3,272,414 3,269,174-3, Professional Development 684, ,456 1,021,469 1,106,298 1,336, , Staff Support - Library Admin 559, , , , ,147 10, Staff Support - Library Services 7,963,808 7,991,933 8,486,613 8,849,967 9,139, , Staff Support - Tech Support ,351 81, Staff Support - Technology Coord 36, , , , ,641 23, Staff Support - Leadership 242, ,566 61,363 69,357 72,232 2, School Site Management 29,917,503 31,373,301 32,902,828 33,262,254 34,586,297 1,324, School Site Mgmt - Safety 98, , , Instruction - Budgetary Control 65,447,652 9,573,786 33,290,311 5,356,779 8,036,330 2,679, School Board Mgmt & Dir 327, , , , , , Office Of Superintendent 695, , , , ,952 41, School Board Attorney 104, , , , ,280 6, Business & Gov t Relations Information Services M&D 654, , , , ,722 34, Community Relations Internal Srvs 8,400 6,284 5,717 21,000 66,000 45, Human Resources - Mgmt & Dir 246, , , , ,952 11, Human Resources - Personnel 1,498,502 1,588,374 1,609,849 1,723,947 1,779,018 55, HR - Compensation & Benefits 693, , , , ,416 23, Human Res - Recertification 47,765 55,869 54,066 10,000 10, Human Resources - Wellness 179, , , , , , Human Resources - Systems 64,287 66,797 70,868 70,831 73,745 2, Planning Mgmt & Direction 274, , , , , School Improvement - Census School Improvement / Tech Support 826, , ,706 1,098,034 1,134,583 36, School Improvement / Tech 51,469 64,812 68, Finance - Asst Supt 525, , , , ,193-10, Finance - Management & Budget 529, , , , ,919 36, Finance - Finance / Payroll 1,814,598 1,794,632 1,990,100 1,971,097 2,037,561 66, Finance - Technology 185, , , , ,586 8, Fin - Internal Auditor 106,054 46,775 95,481 93,200 94,400 1, Finance - Purchasing 556, , , , ,731 26, Admin / A&H - Budgetary Control 471, , , , , , Fin - School CIP Management 878, , , , ,552 38, Pupil Services Administration 308,468 59,895 41,916 25, ,085 91, Pupil Services Medical 4,040,979 4,049,832 4,944,694 5,463,571 5,460,764-2, Pupil Services Psychological Srvs 2,286,070 2,578,767 2,644,065 2,703,414 2,870, ,388

116 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 Function Description Actuals Actuals Actuals Adopted Adopted Difference Pupil Transportation - Admin 1,193,872 1,276,697 1,308,013 1,201,154 1,103,768-97, Pupil Trans - Vehicle Oper 17,284,948 17,674,498 20,437,677 18,136,068 21,385,807 3,249, Pupil Trans - Vehicle Maint 8,427,792 9,382,856 9,121,739 9,858,624 9,509, , Pupil Trans - Budget Control 476, , , , , , O & M - Administration 1,217,176 1,430,009 1,488,949 1,489,222 1,541,747 52, O & M - Building Services 18,824,377 18,994,425 19,955,667 22,778,670 21,768,167-1,010, O & M - Build Serv - Supervisors 425, , , , ,705-7, O & M - Build Serv - Trades 2,019,100 2,022,807 2,140,718 2,178,118 2,224,798 46, O & M - Bldg Serv - Rental 257, , , O & M - Bldg Rent - P & R 69,422 72,583 76, O & M - Utilities 12,257,511 12,408,691 12,265,045 13,531,470 13,648, , O & M Building Maintenance 5,027,750 4,376,242 4,306,862 5,314,236 4,979, , O & M Bldg Maint - HVAC 1,044,217 1,070,346 1,101,927 1,147,368 1,164,537 17, O & M Maint - Plumbing 417, , , , ,742 6, O & M Maint - Boilers 210, , , , ,660 3, O & M Maint - Electricians 474, , , , ,782 5, O & M Maint - Water Treatment 102,840 91,955 95,567 94,517 95,909 1, O & M Maint - Energy Monitoring 227, , , , ,467 3, O & M Maint - Kitchen Equip 400, , , , ,272 6, O & M Maint - Carpentry 267, , , , ,911 4, O & M Maint - Signs & Cabinets 59,850 61,110 63,039 63,178 64, O & M Maint - Roofing 203, , , , ,007 3, O & M Maint - Mobile Classroom 154, , , , ,738 2, O & M Maint - Locksmith 142, , , , ,388 2, O & M Maint - Fire / Shop Equip 263, , , , , O & M Maint - Painting 187, , , , ,617 2, O & M Maint - Welding O & M Maint - Pest Control 93,903 99, ,880 98, ,304 1, O & M Maint - Asbestos 59,224 58,557 59,279 58,421 59, O & M Maint - Glass Repair 137, , , , ,516 2, O & M Maint - Masonry 54,167 55,370 57,058 57,147 57, O & M Maint - AV Equip Rep 345, , , , ,400-8, O & M Maint - Office Mach Rep 379, , , , ,351 6, O & M Maint - Small Motor Repair 50,238 51,141 52,896 52,175 52, O & M Maint- Vehicle Maintenance 54,732 55,731 57,563 56,880 57, O & M Bldg Maint - Equip Operator 327, , , , ,228 5, O & M Environmental Health 173, , , , ,734 7, O & M Grounds 1,950,057 1,816,213 1,846,502 1,854,400 1,841,100-13, O & M Vehicle Services 1,218,064 1,337,491 2,126,909 1,458,527 1,370,007-88, O & M Security Services , ,292 65, Warehouse Services 263, , , ,750 56, , O & M Warehouse Operations 911, , , , , , O & M Postal Operations 779, , , , ,319 5, O &M Budgetary Control 14,147,596 64,524,684 7,584, ,676 3,140,100 2,382, Classroom Tech Support 40,652 42,212 20,168 46,732 46, Instruction Tech Resource Asst 802, , , , ,285 48, Technology Instructional Support 5,552,933 5,770,083 7,235,654 7,367,296 7,857, , Technology Administration 3,175,915 2,686,909 2,698,591 3,196,420 3,686, , Debt Service 47,784,299 98,955,563 44,613,946 43,360,000 42,860, , ,504, ,996, ,789, ,509, ,304,500 32,795,100 Page 109

117 FINANCIAL SECTION EXPENDITURES BY OBJECT OPERATING FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Board Member 85,084 84,400 84,323 83,778 85,081 1, Superintendent 193, , , , ,883 5, Assistant Superintendent 409, , , , ,081-8, Director FT 1,794,621 2,035,636 2,087,496 2,178,092 2,100,810-77, Asst Director FT 1,565,916 1,758,968 1,760,442 1,929,229 1,849,292-79, Supervisor FT 1,024,408 1,238,611 1,297,525 1,363,044 1,375,825 12, Tech Database Admin FT 180, , , , ,418 3, Other Admin Staff FT 659, , , , ,842 12, Teacher FT 165,157, ,796, ,927, ,017, ,287,523 10,269, Librarian FT 4,762,062 4,561,655 4,640,964 5,236,036 5,312,063 76, Guidance Counselor FT 6,795,443 7,153,515 8,277,601 8,864,808 9,011, , Inst Specialist FT 1,697,678 1,852,361 1,973,030 2,236,693 2,427, , Principal FT 4,663,010 5,062,778 5,333,041 5,817,913 5,942, , Assistant Principal FT 6,480,610 6,431,541 6,442,297 6,953,220 7,029,799 76, Admin Asst FT 1,144,221 1,474,335 1,525,295 1,452,395 1,565, , Other Inst Staff FT 548, , , , ,770 11, Technology Integrator FT 1,789,423 1,895,506 1,821,377 2,084,374 2,098,800 14, Other Professional FT 1,880,752 2,174,330 2,239,235 2,379,946 2,550, , Nurse FT 304, , , , ,095 19, Psychologist FT 1,651,028 1,852,074 1,867,840 1,999,554 2,081,437 81, Ed Diagnostician FT 538, , , , ,072 12, Edu Liaisons FT 1,026,069 1,044,867 1,052,851 1,113,491 1,141,043 27, Occup Phys Therapy FT 1,160,716 1,090,934 1,116,655 1,225,900 1,149,120-76, Social Worker FT 1,073,324 1,244,999 1,181,265 1,327,300 1,339,980 12, System Analyst Programmer FT 2,651,801 2,847,684 2,974,212 3,293,480 3,336,887 43, Accountant Auditor 182, , , , ,092 51, Security Guard FT 753, , , , ,663 40, Hearing Imp Interpreter FT 550, , , , ,897 11, Clerical FT 10,228,547 10,495,460 10,719,226 11,799,121 11,951, , Inst Aide FT 11,402,540 11,415,702 11,534,850 13,081,067 13,275, , Tech Resource Asst FT 510, , , , ,398 19, Clinic Aide FT 970, ,178 1,008,207 1,111,393 1,151,592 40, Printer FT 144, , , , ,201 3, Trades Crafts FT 5,428,752 5,444,225 5,557,797 6,313,265 6,439, , Bus Driver FT 9,338,875 9,507,247 9,581,947 10,471,502 10,748, , Equip Operator FT 359, , , , ,649 9, Custodian FT 9,670,304 9,748,978 9,995,474 11,413,117 10,239,851-1,173, Warehouse FT 622, , , , , , Other Salaries Nonexempt , Salaries/Wages - Regular 259,400, ,405, ,494, ,941, ,598,888 10,657, Salaries And Wages Overtime 2,600,046 2,749,441 2,912, Clerical Overtime 4,012 2, ,207 9,207 1, Inst Aide Overtime , , , Printer Overtime ,920 2, Trades Crafts Overtime , , Trades Asst Overtime ,600 19, Bus Driver Overtime 7,851 1, ,062,796 1,367, , Equipment Operator Overtime ,460 75, Custodian Overtime ,133,687 1,133, Warehouse Overtime ,740 12, Salaries/Wages - Overtime 2,611,909 2,753,753 2,912,495 3,146,419 3,778, , Salaries And Wages PT ,100 47, Director PT 62,298 68,028 66, Teacher PT 2,135,659 2,316,937 2,260,587 2,873,457 2,307, , Librarian PT 34,528 25,324 48,429 43,135 35,492-7, Guidance Counselor PT 110, , , , ,904-51, Administrative Assistant PT 54, , , Other Professional PT 60,806 62,022 62,687 63,318 64,579 1,261 Page 110

118 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Nurse PT ,477 80,972 81, Psychologist PT 0 21, Occupational Phys Therapy PT 69,639 70,557 88,586 71, ,545 94, Social Worker PT 41,100 1, System Analyst Programmer PT 43,102 43,964 43,981 44,435 45, Security Guard PT 43,631 20, Hearing Imp Interpreter PT 14,450 7, ,338 32, Inst Aide PT 15,843 15,934 16,278 16,784 17, Tech Resource Asst PT 27,184 26,739 28,412 59,625 61,740 2, Printer PT 0 5, Trades Crafts PT 39,565 40,356 38,419 40,779 33,206-7, Custodian PT 134, , , , ,175 6, Salaries/Wages - Part-time 2,887,201 3,044,915 2,995,035 3,720,193 3,181, , Asst Superintendent Temp , Director Temp 43,850 48,318 46,108 51,140 51, Asst Director Temp 5,623 56,762 22, Other Administrative Temp 91,130 74, Teacher Temp 3,578,728 3,576,567 3,926,624 3,130,855 4,344,507 1,213, Librarian Temp 49,822 34,942 35,663 40,000 40, Guidance Counselor Temp 85,560 30,558 24, Principal Temp 4, ,578 16, Asst Principal Temp 274, , , , , Admin Asst Temp 6, Other Instructional Temp 0 30,940 25, Other Professional Temp 32,703 24,650 32,785 29,442 29, Nurse Temp ,249 65,000 65, Psychologist Temp 0 5,803 11, OT / PT Temp 0 0 5, Security Guard Temp 32,824 31,427 26,708 37,535 37, Hearing Imp Interpreter Temp 0 0 1, ESOL Interpreter Temp ,000 13, Clerical Temp 181, , , , ,303 10, Inst Aide Temp 132, , , , , Clinical Aide Temp Printer Temp 5, ,350 6,000 6, Trades Crafts Temp 45,352 33,598 64,538 44,394 44, Bus Driver Temp 134, , ,133 88, , , Custodian Temp 116, , , , ,268 34, Warehouse Temp 39,496 31,926 44,452 45,140 45, Other Sal Nonexempt Temp 29,627 66,691 43,954 25,000 30,000 5, Other Salaries Temp 341, , , , ,173 14, Salaries/Wages - Temporary 5,234,040 5,549,349 5,952,774 4,637,575 6,111,444 1,473, Teacher Sub 3,966,868 4,036,504 4,238,547 4,020,422 4,421, , Librarian Sub 36,169 32,567 41, Security Guard Sub 2,941 9,028 11, Center Based Edu Sub Inst Aide Sub 227, , , Tech Resource Asst Sub 30,079 30,149 39, Clinical Aide Sub 40,409 25,192 44, Bus Driver Sub 591, , , , , , Custodian Sub 284, , , , , Salaries/Wages - Substitutes 5,181,004 5,196,500 5,488,863 4,603,898 5,271, , Teacher Academic Supplement 616, , , , , Teacher Athletic Supplement 1,231,521 1,222,927 1,225,904 1,372,430 1,747, , Other Salaries Supplement 1,510,249 1,676,910 1,534,853 1,691,318 1,008, , Supplements 3,357,859 3,488,045 3,355,533 3,713,821 3,406, , Superintendent SRP 37,773 37,773 37, Page 111

119 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Asst Superintendent SRP 55, Director SRP 67,134 38, Assistant Director SRP 40, Supervisor SRP 95, Other Admin Staff SRP 19, , Teacher SRP 1,990, ,321 1,085, Librarian SRP 53, ,004 72, Guidance Counselor SRP 91, , Inst Specialist SRP 88,525 29,957 26, Principal SRP 333, ,221 51, Assistant Principal SRP 37,831 70, Admin Asst SRP 15, Other Inst Staff SRP 28, Technology Integrator SRP 57,553 11,325 36, Other Professional SRP 62, Psychologist SRP 81, Edu Diagnostician SRP 18, OT / PT SRP 0 14, Social Worker SRP 55, , System Analyst Prog SRP 155,012 43, Accountant Auditor SRP 32, Security Guards SRP 0 10, Clerical SRP 270, ,860 71, Inst Aide SRP 91,985 39,331 25, Clinical Aide SRP 16,494 16, Trades Crafts SRP 92,329 56,805 16, Bus Driver SRP 48,213 40,158 50, Equipment Operator SRP 10, Custodian SRP 150,773 81,199 63, Warehouse SRP 33, Salaries/Wages - SRP 4,133,564 1,806,589 1,601, Military Leave 31,051 3, , , Annual Leave Payout 1,336, , , , ,500-27, Sick Leave Payout 950, , , , ,500-22, Personal Day Payout 58, , , , ,200 30, Comp Package ,000 20, Salary Lapse ,750,275-4,927, , Other Salaries 2,376,639 1,310,150 1,183,710-3,349,575-3,551, , Personal Services 285,182, ,554, ,984, ,413, ,796,479 12,382, FICA Expense 20,354,166 20,666,015 20,862,267 23,216,432 24,239,479 1,023, Social Security 20,354,166 20,666,015 20,862,267 23,216,432 24,239,479 1,023, VRS Retirement 24,511,887 30,362,958 41,577,663 37,022,062 45,912,499 8,890, VRS Retiree Healthcare Credit 1,330,958 1,421,407 2,704, VRS Retirement Actuarial 0 1, Supplemental Retirement 14,676,382 7,988,405 7,805,057 2,500,000 2,500, Retirement 40,519,228 39,774,023 52,087,245 39,522,062 48,412,499 8,890, Anthem Ins Active ,849,736 5,849, Healthkeepers 38,843,039 40,086,283 41,907,598 41,429,064 36,130,590-5,298, Dental Ins Active 1,542,352 1,233,294 1,255, , , Medicare Part D Expense 16,520 13, Medicare Ins Expense 3,263,935 3,727,912 4,244,008 4,000,000 5,200,000 1,200, Health Insurance Reimb 66,153 78, , Health Premiums 43,731,999 45,140,017 47,524,938 45,429,064 48,112,673 2,683, VRS Group Life Insurance 723, ,967 3,210,931 3,484,852 3,612, ,477 Page 112

120 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Other Employee Benefits 28,500 28,500 40,000 40,000 40, Group Life Insurance 752, ,467 3,250,931 3,524,852 3,652, , State Unemployment Ins VEC 304, ,283 90, , , Unemployment Insurance 304, ,283 90, , , Workers Comp Indemnity 480, , , Workers Comp Medical And Oth 2,407,176 2,578,753 2,994, Workers Comp And Other Chgs 39,417 27,733 63, Workers Comp Exp Yr End Adj ,630,000 3,609,900 1,979, Workers Compensation 2,926,944 3,113,617 3,611,467 1,630,000 3,609,900 1,979, Education Tuition Assist Car Allowances 58,250 12,500 12,500 12,500 12, Required Medical Exams 35,253 40,597 44,590 50,000 50, Other Post Emp Benefits 816, ,450 1,000,000 1,000, Other Benefits 910,304 53, ,540 1,062,500 1,062, Employee Benefits 109,499, ,613, ,373, ,509, ,214,380 14,704, Professional Health Svcs 103, , , , ,500-1, Assmnt / Evaluation Services ,000 90, Developmental Services 9,366-4, Accounting Auditing Finance 83,000 96,000 89,000 92,200 94,300 2, Mgmt Consulting Svcs 55,161 54,758 53,835 17,230 17, Professional Education Svcs 211, , , , ,792-4, Architectural Svcs 14, Legal Svcs 180,163 98, , , ,210-3, Tech Svcs 102, ,439 44, , ,006 7, Tech Support Svcs ,206 20,000 20, Other Professional Svcs 650, , , , , , Professional Services 1,410,887 2,244,698 1,662,312 1,852,908 1,804,598-48, Repair Maint 0 7, Bldg Repair Maint 0 60, Communication Equip Repair Computer Equip Repair Maint , , Other Repair Maint 57,782 50,089 24,975 58,500 58, Copier Annual Maint Contract , ,300 1, Software Maint Annual Contract 1,395 1,395 38,995 1,435 39,035 37, Other Maint Svc Cont 2,916,059 2,979,562 2,952,370 3,366,004 2,966, , Maintenance Services 2,975,236 3,100,012 3,018,123 3,425,939 3,275, , Transportation Svcs Transportation Services Printing And Binding Svcs 113, , , , ,316 3, Printing & Binding 113, , , , ,316 3, Media Advertising 36,581 25,854 18,814 24,000 23, Advertising 36,581 25,854 18,814 24,000 23, Tuition Paid Division Instate 2,552,396 2,597,637 2,516,605 2,484,031 2,484, Tuition Paid Private Schools 54,696 4,460 32,760 30,000 30, Services from Other Govt 2,607,092 2,602,097 2,549,365 2,514,031 2,514, Permits And Licenses 12,723 10,479 9,536 15,000 15, Training Svcs 2,196 11,252 10,352 14,060 13, Testing Svcs 18,054 16,580 13, ,000 14,000 Page 113

121 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Movement Of Trailers 45,898 50, ,847 70,000 70, Pmt To Parents In Lieu Trans 7,753 7,074 4, Other Contractual Svcs 1,032, , ,155 1,168,606 3,051,385 1,882, Contractual Services 1,118, , ,433 1,267,666 3,163,695 1,896, Purchased Services 8,262,320 9,050,730 8,323,125 9,219,258 10,919,863 1,700, Incty IST Chgs 431, , , , ,490 23, Data Processing 431, , , , ,490 23, Incty Fleet Vehicle Operation 5,218,225 5,634,209 5,252,190 5,771,659 5,440, , Incty Fleet Permanent Lease 1, Incty Fleet Motor Pool 3,878 19,371 9, Incty Fleet Fuel Sales 3,978,753 4,693,673 4,749,836 5,112,307 5,045,200-67, Fleet Services 9,202,725 10,347,905 10,011,362 10,883,966 10,486, , Incty Purchasing Chgs 509, , , , ,315 24, Central Purchasing 509, , , , ,315 24, Incty Print Shop Chgs 233, , , , ,311-21, Central Printing 233, , , , ,311-21, Incty Risk Mgmt Chgs ,039,483 3,243, , Incty Risk Mgmt Self Ins 3,697,305 3,750,460 3,543,576 55, , , Risk Management 3,697,305 3,750,460 3,543,576 4,094,976 4,117,478 22, Incty Sch Bus Chgs 38,225 40,326 43,061 35,375 36,415 1, Incty Sch Food Svc Admin 2, Incty Accounting Chgs 544, , , , , Incty Internal Audit Fee ,481 93,200 94,400 1, Incty Chesterfield Univ Incty Health Services 2,202,400 2,158,300 2,812,700 2,736,100 2,606, , Incty Energy Mgmt Fees 36,500 36,600 22,700 51,300 52,300 1, Incty Grounds Maint 1,938,700 1,792,800 1,818,800 1,844,400 1,831,100-13, Incty Telephone Chgs ,400 57, Incty Police Svcs 1,967,274 1,926,600 1,926,600 2,045,500 2,157, , Incty Fireman Chgs 29,404 29,478 29,267 29,600 29, Incty Radio Shop Chgs 21,106 37,468 63,353 27,700 46,250 18, Incty Radio Shop Annual 182, , , , ,944-8, Intra County Services 6,962,372 6,773,522 7,565,280 7,620,675 7,661,259 40, Internal Services 21,036,708 22,094,368 22,410,573 23,934,052 23,624, , Electric Service 8,453,245 8,973,168 9,165,652 9,752,050 9,804,750 52, Heating Natural Gas 1,314, ,938 1,102,204 1,676,098 1,697,573 21, Heating Gas 18,743 10,487 16,524 19,000 19, Heating Propane 312, , , , ,000-30, Water Svc 307, , , , ,350 6, Sewer Svc 359, , , , ,850 6, Utilities 10,766,679 10,811,770 11,184,020 12,479,648 12,537,523 57, Postal Svcs 668, , , , ,444 1, Private Courier Chgs 865 1, ,500 1,000-1, Telecommunications 804, , , , ,100-13, Wireless Phone Svc Chgs 134, , , , ,150 36, Other Local Telephone Service 27,823 27,510 13,706 24,298 18,348-5, Data Lines 510, ,447 1,127,825 1,166,400 1,266, , Communications 2,146,478 2,230,684 2,810,106 2,903,563 3,020, ,879 Page 114

122 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference General Liability Premium 29,134 29,233 27,957 29,500 29, Insurance 29,134 29,233 27,957 29,500 29, Lease Rent Equip 92,935 63,769 67, ,000 88,000-13, Bldg Rent Or Lease 446, , , , , , Facility Rental , Leases/Rentals 539, , , , , , Mileage 437, , , , , , Education And Conferences 3,948 3,486 5,114 2,475 4,000 1, Air Fares 0 0 2, Registration Fees 4,856 5,600 6,963 4,175 6,625 2, Tolls Parking 1,434 1,504 1, Meals Per Diem Misc Travel Exp 287, , , , ,046 5, Travel 735, , , , , , Contrib To Other Entities 1,025, , ,000 5, Contributions to Other Entity 1,025, , ,000 5, Dues Association Membership 183, , , , ,210-14, Other Chgs And Services 2,004 1,444 1,121 4,000 4, Miscellaneous Charges 185, , , , ,210-14, Other Fees And Charges Miscellaneous Fees and 559 Charges Other Charges 15,427,498 15,400,358 15,454,426 17,063,450 16,897, , Office Supplies 309, , , , ,222-5, IST Data Processing Forms Doc Svcs Printing Forms Testing Supplies ,693 10,629 8,000 10,000 2, Food And Food Srv Supplies 326 6, Food 34,046 46,345 72,373 27,525 46,125 18, Agricultural Supplies 10,667 23,413 27,702 10,000 10, Exp Laboratory Supplies 0 1, Medical Supplies 30,644 29,004 56,373 32,481 39,316 6, Janitorial Supplies 1,067,131 1,106,102 1,457,801 1,453,800 1,077, , Repair Maint Supply 2,297,796 2,306,178 2,272,821 3,234,585 2,885, , Vehicle Fuel Tires And Tubes 33,907 32,504 49,933 50,000 50, Uniforms 113,019 95,152 96, , ,900-1, Books Subscriptions 598, , , , ,001-10, Printing Supplies Library Books Recreational Supplies Inst Supplies 2,603,032 2,596,984 2,133,722 2,901,084 3,308, , Audio Visual Supplies 44,195 53,804 42,389 42,485 40,127-2, Library Supplies Other Operating Supplies 359, , , ,425 1,133, , Exp Software 657, , , , ,321-48, Photographic Supplies Safety Supplies Electronic Equip Supplies Merchandise For Resale 220, , , , , Textbooks 1,164,560 1,018,433 1,507,635 1,139, , , Supplies 9,546,257 9,743,287 9,933,837 11,405,275 10,881, ,034 Page 115

123 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Exp Mach And Equip Rpl 0 10, Exp Furniture And Equip Rpl 120, , ,205 4,845 2,200-2, Exp Office Equip Rpl 0 6, Exp Telecom Equip Rpl Exp Computer Equip Rpl 1,852 5,367 2,865, Exp Education Equip Rpl 22,595 18,557 13, , , , Exp Audio Visual Equip Rpl 6,702 7, ,000 1, Exp Equipment Replacement 151, ,411 2,994, , , , Exp Furniture And Equip Add 92, ,123 33, , ,360-7, Exp Office Equip Add 4,998 3, Exp Radio Equip Add 5,388 1, , Exp Computer Equip Add 296, ,778 1,453, , ,857-16, Exp Education Equip Add 298, , , , ,525-33, Exp Audio Visual Equip Add 141, ,232 60,846 33,275 26,995-6, Exp Equipment Additional 839, ,266 1,706, , ,237-64, Inventory Purchases 10, , Inventory Purchases 10, , Fund Balance Funded 50,056,773 53,663,491 23,063,509 1,735,932 2,607, , Fund Balance Unfunded , , Unallocated Appropriation 50,056,773 53,663,491 23,063,509 1,735,932 3,193,907 1,457, Materials & Supplies 60,603,817 64,632,557 37,699,993 14,075,754 14,842, , Pmt To Joint Operations 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Joint Payments 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Joint Operation Payments 1,158,683 1,158,683 1,084,913 1,084,950 1,113,785 28, Capital Mach And Equip Rpl 0 62, Capital Furniture Fixture Rpl 0 33,595 22, Capital Office Equip Rpl 0 6, Capital Telecom Equip Rpl 0 0 7, Capital Passenger Vehicle Rpl 128,475 99, , ,000 78,000-22, Capital Education Equip Rpl 0 15,814 75, Capital Bus Rpl 83, ,136, ,000,000 2,000, Capital Equip Replacement 212, ,891 3,142, ,000 2,078,000 1,978, Capital Mach And Equip Add 366,719 5, Capital Office Equip Add 0 5, Capital Passengr Vehicle Add 12, Capital Computer Equip Add 165, ,320 53,160 53, Capital Software Add 122, ,316 8, , , Capital Educational Equip Add 94, ,233 56,754 70,780 66,300-4, Capital Addl Av Equipment , Capital Equipment Additional 761, ,343 85, , , , Site Improvement 0 48, Site Improvements 0 48, Bldg Improvements 13, ,292 5, Capital Other 13, ,292 5, Capital Outlay 986, ,434 3,234, ,940 2,310,460 2,086,520 Page 116

124 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Bond Principal 30,493,990 29,311,806 29,476,932 28,343,136 28,163, , Lease Purchase Principal 360, , , , , Bond Interest 16,547,313 15,729,679 14,655,976 14,618,484 14,141, , Lease Purchase Interest 69,467 56,183 48,224 33,902 21,595-12, Issuance Costs 101, , ,897 30, , , Arbitrage Exp 247, Other Debt Exp 10,411 6,452 6,918 20,000 20, Debt 47,831,237 45,850,434 44,613,946 43,360,000 42,860, , Debt Services 47,831,237 45,850,434 44,613,946 43,360,000 42,860, , Transfer to County 0 181, Transfer to Comp Srvs 1,197, , , ,300 1,221, , Transfer to County - CSA 1,197,100 1,102, , ,300 1,221, , Transfer to Grants 756, , , , ,600-5, Transfer to School CIP Fund 11,562,224 9,140,685 6,156, ,855,600 1,855, Transfer to School Grants/CIP 12,318,348 9,742,029 6,688, ,800 2,503,200 1,850, Transfers 13,515,448 10,844,786 7,609,908 1,624,100 3,724,300 2,100, Pmt To Ref Bond Escrow Agent 0 53,105, Other Bond Expenses 0 53,105, Bonds 0 53,105, Total Operating Fund 563,504, ,996, ,789, ,509, ,304,500 32,795,100 Page 117

125 FINANCIAL SECTION GRANTS FUND SUMMARY Revenues FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 387, , , , ,000-69,000 State 2,966,728 1,369,485 2,947,356 2,355,152 2,124, ,000 Federal 27,179,681 23,858,485 24,741,522 23,242,048 21,350,248-1,891,800 Transfers 756, , , , ,600-5,200 Beginning Balance 333, , , Expenditures 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 Appropriation Category FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Description Actuals Actuals Actuals Adopted Adopted Difference 61 Instruction 27,172,481 24,276,148 25,474,166 24,201,050 22,226,550-1,974, Admin / Attendance & Health 713, , , , , , Pupil Transportation 437, , ,745 15,000 15, Technology - Schools 3,298,993 1,519,203 2,798,272 2,142,800 2,025, ,200 Total Grants Fund 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 Instruction $ % FY2014 ($ in millions) Admin / Attendance & Health $ % Technology - Schools $ % Pupil Transportation $ % Instruction $ % FY2015 ($ in millions) Admin / Attendance & Health $ % Technology - Schools $ % Pupil Transportation $ % Page 118

126 FINANCIAL SECTION EXPENDITURES BY FUNCTION GRANTS FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Function Description Actuals Actuals Actuals Adopted Adopted Difference Classroom Instruction 23,591,719 20,218,557 23,011,425 21,911,996 20,667,264-1,244, Student Support - Guidance Srv 1,565,730 1,462, Student Support - Soc Work Srv 126, , Staff Support - Administration 1,888,107 2,357,092 2,369,375 2,089,054 1,454, , Staff Support - Mmgt & Direction , , ,000-95, Finance - Asst Supt 481, , , , , , Pupil Services Medical , Pupil Services Psych Srv 232,216 1,079 60, Pupil Trans - Vehicle Operation 437, , ,745 15,000 15, Classroom Technology 3,298,993 1,519,203 2,798,272 2,142,800 2,025, ,200 Total Grants Fund 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 EXPENDITURES BY OBJECT GRANTS FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Supervisor FT 39,159 3, ,185 32,652-49, Other Admin Staff FT , , Teacher FT 8,939,334 8,370,330 10,214,362 11,074,348 9,428,271-1,646, Guidance Counselor FT 1,217,099 1,119, Inst Specialist FT 174, , , , ,203 3, Other Inst Staff FT 521, , , , ,552 14, Technology Integrator 155, Other Professional FT 131, , , , ,997-6, Psychologist FT 130, Ed Diagnostician FT 0 1, Ed Liaisons FT 307, , , , ,143 4, Social Worker FT 95,685 2, Accountant Auditor 84,744 86,439 88,912 93,895 95,780 1, Home Family Edu FT 79,366 88,283 80, , , Center Based Edu FT 269, , , , ,349-25, Clerical FT 135, , , , ,155-32, Inst Aide FT 1,602,940 1,389,837 1,348,271 1,566,774 1,478,050-88, Salaries/Wages - Regular 13,884,442 12,376,967 13,212,538 14,673,235 12,694,152-1,979, Salaries And Wages OT 64,600 59,655 62,471 5, , Salaries/Wages - Overtime 64,600 59,655 62,471 5, , Teacher PT 146,799 19,474 83,653 68, , Guidance Counselor PT 7, Psychologist PT 54, Ed Diagnostician PT 0 161, , Salaries/Wages - Part-time 208, , ,062 68, , Teacher Temp 461, , , , , , Instruct Specialist Temp 58,175 59,406 51,331 70,000 75,000 5, Asst Principal Temp 2,694 9, , , Other Professional Temp 102, , ,855 68,124 69,482 1, Psychologist Temp , Security Guard Temp Clerical Temp ,998 3, , Inst Aide Temp 22,120 83,683 4,584 13,066 26,200 13, Bus Driver Temp 0 0 1,663 33, , Other Salaries Temp Salaries/Wages - Temporary 647, , , , , , Teacher Sub 332, , , , ,878 29, Liaison Substitute 0 3, Page 119

127 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Security Guard Sub Center Based Educator Sub 10,449 22,409 20, Inst Aide Sub 20,530 44,844 33,287 10, ,100 90, Salaries/Wages - Substitutes 363, , , , , , Teacher Academic Supplement 32,819 8,316 8,870 68,150 76,000 7, Other Salaries Supplement 951, , , , , , Supplements 983, , , , , , Teacher SRP 31,529 32,936 10, Technology Integrator SRP 38, Psychologist SRP Ed Diagnostician SRP 0 15, Social Worker SRP 0 31, Center Based Educator SRP 0 10, Salaries/Wages - SRP 69,599 90,264 10, Sick Leave Payout 0 3, Personal Day Payout 0 2, Salary Lapse , ,694 41, Other Salaries 0 1, Other Salaries 0 7, , ,694 41, Personal Services 16,222,597 14,229,449 15,581,506 15,966,235 13,929,420-2,036, FICA Expense 1,155,895 1,014,473 1,105,978 1,253,188 1,073, , Social Security 1,155,895 1,014,473 1,105,978 1,253,188 1,073, , VRS Retirement 1,236,994 1,370,341 2,050,350 1,873,758 1,975, , VRS Retiree Healthcare Credit 79,623 72, , ,000 3, VRS Retirement Actuarial 5, Supplemental Retirement 93, ,865 53, Retirement 1,414,729 1,717,738 2,251,006 1,873,758 1,978, , Healthkeepers 1,792,485 1,635,946 1,817,482 2,020,550 1,737, , Dental Ins Active 60,375 43,370 45, Health Premiums 1,852,860 1,679,315 1,862,944 2,020,550 1,737, , VRS Group Life Insurance 38,676 33, , , ,078-23, Group Life Insurance 38,676 33, , , ,078-23, Workers Comp Indemnity 0 1,066 3,087 3,000 80,000 77, Workers Comp Medical And Oth 50, ,307 68,955 5,000 54,061 49, Workers Comp And Other Chgs Workers Compensation 50, ,443 72,042 8, , , Employee Benefits 4,513,114 4,564,840 5,450,134 5,330,095 5,074, , Professional Health Svcs 409,402 6, , ,114 3, Accounting Auditing Finance 27,000 14, ,000 21, Mgmt Consulting Svc 2,780 2,219 2,299 25,440 2,028-23, Professional Inservice Training Professional Education Svc 67, ,644 62,272 63,631 30,146-33, Legal Svcs 0 0 2, Other Professional Svcs 444, , ,471 31,500 5,372-26, Professional Services 952, , , ,071 62,660-79, Office Equip Annual Maint Cont , Page 120

128 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Other Maint Svc Cont 350 5, ,424 37,500 41,890 4, Maintenance Services 350 5, ,879 37,500 41,890 4, Transportation Svcs 8,443 4, , , Transportation Services 8,443 4, , , Printing And Binding Svcs 40,562 1, ,700 7,613 5, Printing & Binding 40,562 1, ,700 7,613 5, Media Advertising 21,791 9,055 23,468 8, , Advertising 21,791 9,055 23,468 8, , Tuition Paid Division Instate 47,975 7, Services from Other Gov t 47,975 7, Permits And Licenses Indirect Cost Recovery 335, , , , ,900 37, Training Svcs 16,260 24,382 29,237 19,500 18, Parent Involvement 67,805 33,637 39,810 8,000 40,800 32, Other Contractual Svcs 674, , , , ,769 44, Contractual Services 1,093,746 1,222,166 1,291,000 1,069,354 1,183, , Purchased Services 2,164,946 1,606,051 2,152,379 1,263,390 1,295,332 31, Incty IST Chgs 22, ,010 23,210 23, Data Processing 22, ,010 23,210 23, Incty Fleet Vehicle Operation Incty Fleet Fuel Sales Fleet Services Incty Purchasing Chgs 21,585 21,585 21,585 21,585 21, Central Purchasing 21,585 21,585 21,585 21,585 21, Incty Print Shop Chgs 23,297 29,691 30,868 74,290 59,075-15, Central Printing 23,297 29,691 30,868 74,290 59,075-15, Incty Sch Bus Chgs 113,743 90, ,685 50, , , Incty Accounting Chgs 60,455 60,450 60,450 60,450 60, Incty Radio Shop Chgs 1, Intra County Services 175, , , , , , Internal Services 243, , , , , , Postal Svcs 3,842 2,645 3,008 7, , Telecommunications 835 1,514 1,373 2, , Wireless Phone Svc Chgs , Other Local Telephone Service 1,720 1,806 1,755 4,900 4, Communications 6,448 5,965 9,129 14,315 5,610-8, General Liability Premium Insurance Facility Rental Leases/Rentals Mileage 13,301 27,918 22,322 90,800 34,600-56,200 Page 121

129 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Education And Conferences Air Fares 4,605 8, , , Other Public Carriers 2, Registration Fees 7,179 19,441 15,383 18,350 15,280-3, Tolls Parking Misc Travel Exp 457, , , , ,529-78, Travel 484, , , , , , Contrib To Other Entities Contributions to Other Entity Dues Association Membership 8,363 10,604 6,098 13,535 5,980-7, Other Chgs And Services Miscellaneous Charges 8,763 11,544 6,823 14,135 5,980-8, Other Charges 500, , , , , , Office Supplies 41,386 30,672 21,416 22,060 20,000-2, Identification Supplies Doc Svcs Printing Forms Food And Food Srv Supplies 0 8,196 6, Food 55,113 46,155 53,578 44,170 12,100-32, Medical And Lab Supplies 6, Medical Supplies 25,563 5,417 1, ,000 4, Footware Books Subscriptions 240, , , , ,000 29, Recreational Supplies , , Inst Supplies 1,471, ,217 1,226, , ,792 66, Audio Visual Supplies 3, Other Operating Supplies 10,693 2,280 7,420 22,919 20,089-2, Exp Software 350, , , , ,047-3, Textbooks 4,998 7,118 43,602 35,949 58,500 22, Supplies 2,210,708 1,764,559 1,878,293 1,169,459 1,250,528 81, Exp Mach And Equip 0 1, Exp Furniture And Equip Rpl Exp Computer Equip Rpl 678 2,515 1,099,063 35,000 68,000 33, Exp Audio Visual Equip Rpl , , Expend Equipment Repl 1,242 4,549 1,099,582 40,000 68,000 28, Exp Furniture And Equip Add 8, ,873 3,200 11,800 8, Exp Radio Equip Add 4, Exp Computer Equip Add 3,696,390 1,806,831 1,262, , ,435 51, Exp Education Equip Add 360, ,692 59, , ,055-34, Exp Audio Visual Equip Add 191,242 22,934 69,761 40,750 49,181 8, Expend Equipment Additional 4,260,840 1,936,458 1,394, , ,471 34, Fund Balance Funded 192, , ,349 54,916 36,728-18, Unallocated Appropriation 192, , ,349 54,916 36,728-18, Materials & Supplies 6,665,437 3,808,384 4,551,122 2,034,804 2,159, , Capital Mach And Equip Add 0 13, Capital Computer Equip Add 14, , ,332 23, , Capital Software Add 0 1,000, Capital Educational Equip Add 91,353 28,658 35,613 7,459 20,000 12, Capital Bus Add 419, ,732 89, Capital Equipment Additional 525,583 1,430, ,835 30,459 20,000-10,459 Page 122

130 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference 58 Capital Outlay 525,583 1,430, ,835 30,459 20,000-10, Trf to School CIP Fund 787, ,800,000 1,800, Transfer to CIP 787, ,800,000 1,800, Transfers 787, ,800,000 1,800,000 0 Total Grants Fund 31,622,967 26,411,640 29,088,498 27,059,000 24,862,000-2,197,000 Page 123

131 FINANCIAL SECTION FEDERAL FOOD SERVICE FUND SUMMARY Revenues FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 8,342,470 8,500,448 7,948,860 10,894,950 11,042, ,900 State 291, , , , ,050 7,010 Federal 7,804,630 8,192,645 8,796,927 9,410,010 10,065, ,990 Beginning Balance 13,716,098 16,270,127 15,935, Total Federal Food Service Fund 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 Expenditures Appropriation Category FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Description Actuals Actuals Actuals Adopted Adopted Difference 65 Food Services 29,981,581 15,146,997 32,812,642 20,099,000 21,137,100 1,038, Technology - Schools 172,856 18,134, , , , ,200 Total Federal Food Service Fund 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 Food Services $ % FY2014 ($ in millions) Technology - Schools $ % Food Services $ % FY2015 ($ in millions) Technology - Schools $ % Page 124

132 FINANCIAL SECTION EXPENDITURES BY FUNCTION FEDERAL FOOD SERVICE FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Function Description Actuals Actuals Actuals Adopted Adopted Difference Food Service Fed Operating 856, ,483 1,106,445 1,147,250 1,155,653 8, FS - Fed Cafeteria Operations 28,928,674 13,655,227 31,503,226 18,367,076 19,291, , Food Service Vending 196, , , , , , Technology Food Service 172,856 18,134, , , , ,200 Total Federal Food Service Fund 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 EXPENDITURES BY OBJECT FEDERAL FOOD SERVICE FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Director FT 106, , , , ,935 2, Asst Director FT 65,977 67,297 68,090 71,516 72,952 1, Supervisor FT 252, , , , ,466 7, Other Professional FT ,938 35,795 36, System Analyst Programmer FT 64,794 52,639 53,260 55, ,507 62, Accountant Auditor FT 129, , , , ,426 2, Clerical FT 74, , , , , Trades Crafts FT 39,535 40,325 5,179 25,925 26, Food Svc Manager FT 1,382,530 1,374,937 1,345,556 1,508,773 1,641, , Salaries/Wages - Regular 2,116,215 2,141,032 2,060,329 2,434,834 2,645, , Salaries And Wages OT 114, , , , , Food Svc Manager OT 3,485 5,762 6,095 6,000 7,000 1, Salaries/Wages - Overtime 117, , , , ,000 1, Food Svc Manager PT 10,427 7,041 20,357 15,000 23,000 8, Food Svc Worker PT 1,487,267 1,505,980 1,448,364 1,868,760 1,889,615 20, Salaries/Wages - Part-time 1,497,694 1,513,022 1,468,721 1,883,760 1,912,615 28, Other Professional Temp Sys Analyst Programmer Temp 0 0 4, Clerical Temp 15,562 5,499 10,311 20,520 15,000-5, Food Svc Manager Temp 18,745 20,140 26,096 25,500 35,000 9, Food Svc Worker Temp 54,582 39,493 33,622 55,000 60,000 5, Salaries/Wages - Temporary 88,889 65,500 74, , ,000 8, Food Svc Worker Sub 112, , , , ,000 10, Salaries/Wages - Substitutes 112, , , , ,000 10, Food Svc Manager Supplement 6,740 19,231 7,224 25,000 25, Supplements 6,740 19,231 7,224 25,000 25, Supervisor SRP , Food Svc Manager SRP , Salaries/Wages - SRP , Annual Leave Payout 0 0 2,795 3,500 5,000 1, Sick Leave Payout 4, ,019 6,750 7, Personal Day Payout 542 1,135 3,304 8,000 8, Other Salaries 4,733 1,135 12,118 18,250 20,500 2, Personal Services 3,945,105 4,013,113 3,953,662 4,769,364 5,030, , FICA Expense 284, , , , ,596 14, Social Security 284, , , , ,596 14, VRS Retirement 198, , , , ,714 92,731 Page 125

133 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference VRS Retiree Healthcare Credit 10,669 11,160 20, Supplemental Retirement , Retirement 209, , , , ,714 92, Healthkeepers 355, , , , , Dental Ins Active 11,744 9,983 9, Health Premiums 367, , , , , VRS Group Life Insurance 5,855 5,830 24,731 28,972 31,487 2, Group Life Insurance 5,855 5,830 24,731 28,972 31,487 2, Workers Comp Indemnity 2,296 9,497 41,052 15,000 55,000 40, Workers Comp Medical And Oth 98, , , , ,000 98, Workers Comp And Other Chgs , ,500 8, Workers Compensation 100, , , , , , Employee Benefits 967,792 1,101,549 1,469,123 1,324,044 1,580, , Professional Health Svcs Mgmt Consulting Svc Professional Services Bldg Repair Maint , Electrical Equip Repair Maint 0 0 1, HVAC Repair Maint ,507 1,000 1, Painting Repair Maint 0 0 3, Other Repair Maint Computer Annual Maint Cont HVAC Annual Maint Contract Other Maint Svc Cont 11, ,547 3,500 1,804-1, Maintenance Services 11,563 1,564 35,262 4,870 3, Printing And Binding Svcs 11,482 7,153 18,955 18,500 22,000 3, Printing & Binding 11,482 7,153 18,955 18,500 22,000 3, Media Advertising Other Advertising 0 1, , , Advertising 0 1, , , Laundry And Dry Cleaning Svcs , , Laundry & Dry Cleaning , , Fingerprint Fees 0 1,813 4,329 2,500 6,500 4, Food Processing 539, , , , ,000 32, Other Contractual Svcs 243, , , , ,000 20, Contractual Services 782, , , , ,500 57, Purchased Services 806, , , , ,104 53, Incty Fleet Vehicle Operation 3,140 4,249 16,698 5,500 25,000 19, Incty Fleet Fuel Sales 3,491 6,534 9,119 7,500 13,500 6, Fleet Services 6,632 10,783 25,817 13,000 38,500 25, Incty Print Shop Chgs 14,986 13,995 18,552 16,000 8,200-7, Central Printing 14,986 13,995 18,552 16,000 8,200-7, Incty Risk Mgmt Self Ins 8,395 8,340 8,324 10,000 9, Page 126

134 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference 545 Risk Management 8,395 8,340 8,324 10,000 9, Incty Sch Food Svc Admin 884, ,760 1,128,731 1,408,000 1,350,000-58, Incty Sch Food Svc Cty 12,780 10,551 10,994 14, , Intra County Services 896, ,311 1,139,725 1,422,000 1,350,000-72, Internal Services 926,991 1,009,429 1,192,418 1,461,000 1,406,200-54, Postal Svcs 6,948 7,570 6,930 8,500 8, Telecommunications 7, ,000 6,000-1, Wireless Phone Svc Chgs 3,909 7,026 9,418 7,300 18,500 11, Long Distance Telephone Chg Communications 18,235 14,758 16,481 22,800 32,500 9, Bldg Rent Or Lease 689, , , , , , Facility Rental 0 5,050 5,050 5,000 6,500 1, Leases/Rentals 689, , , , , , Mileage 20,766 20,834 24,379 24,500 30,000 5, Education And Conferences 3,149 5, , , Lodging 5,425 15,283 15,274 15,000 45,000 30, Air Fares 2,980 6,368 6,896 10, , Registration Fees 3,213 9,715 9,895 11,050 5,000-6, Tolls Parking Meals Per Diem 500 2, , , Misc Travel Exp 21,418 10,470 13,099 12,750 8,500-4, Travel 57,894 69,869 69,543 81,730 88,500 6, Dues Association Membership Business Meals 4, Miscellaneous Charges 5, Other Fees And Charges 184, , , , , Miscellaneous Fees and 559 Charges 184, , , , , Other Charges 955, ,595 1,051, ,730 1,099, , Office Supplies 78,308 66,369 66,409 95,600 77,500-18, Food And Food Srv Supplies 3,302 4,377 2,341 5,500 3,500-2, Food 5,010,430 5,298,929 5,628,162 6,200,050 6,600, , USDA Donated Foods 1,025, ,033 1,023,725 1,150,000 1,150, Janitorial Supplies 57,488 17,289 32,789 25,000 20,000-5, Repair Maint Supply 3,365 2,362 3,324 3, , Uniforms 27,693 45,276 36,599 49,000 50,000 1, Footware 4,330 3,369 4,529 5,500 5, Books Subscriptions ,920 1,000 2,500 1, Other Operating Supplies 474, , , , ,000 65, Exp Software 8,860 7,144 19,237 50,500 45,000-5, Chemicals 0 4, , , Supplies 6,693,835 6,893,264 7,419,854 8,275,350 8,704, , Exp Site Improvement , ,000 70, Exp Mach And Equip 17,516 30,794 17,787 45,000 45, Exp Furniture And Equip Rpl 12,498 12,372 77,066 16,000 16, Exp Office Equip Rpl 0 9, , , Exp Telecom Equip Rpl 1,519 4,263 1,858 6, , Exp Computer Equip Rpl 26,205 23,109 39,014 53,000 85,000 32,000 Page 127

135 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Exp Education Equip Rpl 65, ,363 9, ,500 7, , Expend Equip Replacement 122, , , , , , Exp Furniture And Equip Add ,217 1,500 20,000 18, Exp Computer Equip Add ,213 1,504 55,000 53, Exp Education Equip Add 43, , ,000-48, Exp Audio Visual Equip Add 0 0 7, Expend Equipment Additional 44,187 1,557 43, , ,000 23, Fund Balance Funded 14,588,346 17,951,936 15,600, , , , Unallocated Appropriation 14,588,346 17,951,936 15,600, , , , Materials & Supplies 21,449,209 25,262,173 23,275,312 9,320,692 9,273,957-46, Capital Mach And Equip Rpl 0 15, Capital Passenger Vehicle Rpl , Capital Computer Equip Rpl , , , Capital Education Equip Rpl 0 166, , , ,000 42,000 Capital Equipment 581 Replacement 0 181, , , , , Capital Mach And Equip Add 9,305 52, , , Capital Furniture Fixture Add , Capital Passenger Vehicle Add , Capital Computer Equip Add 0 29, , , Capital Educational Equip Add 139, Capital Equipment Additional 148,333 82, , , ,000-50, Bldg Improvement 954,733 35,729 10,165 50, , , Capital Other 954,733 35,729 10,165 50, , , Capital Outlay 1,103, , , ,000 1,355, , Transfer to School CIP Fund ,590 1,223, , , Transfer to School CIP ,590 1,223, , , Transfers ,590 1,223, , ,200 Total Federal Food Service Fund 30,154,437 33,281,334 33,028,095 20,711,000 21,520, ,900 Page 128

136 FINANCIAL SECTION NON-FEDERAL FOOD SERVICE FUND SUMMARY Revenues FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Source Actuals Actuals Actuals Adopted Adopted Difference Local 4,611,015 4,581,081 4,496,789 4,777,000 4,838,000 61,000 Federal Transfers Beginning Balance 2,506,963 2,306,974 1,979, Total Non-Federal Food Service Fund 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 Expenditures Appropriation Category FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Description Actuals Actuals Actuals Adopted Adopted Difference 65 Food Services 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 Total Non-Federal Food Service Fund 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 EXPENDITURES BY FUNCTION NON-FEDERAL FOOD SERVICE FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Function Description Actuals Actuals Actuals Adopted Adopted Difference Non - Fed Food Ser Operating 6,602,836 6,328,999 6,069,237 4,320,070 4,421, , Non - Fed FS Vending 515, , , , ,367-40,563 Total Non-Federal Food Service Fund 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 EXPENDITURES BY OBJECT NON-FEDERAL FOOD SERVICE FUND FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference Food Svc Manager FT 438, , , , ,518 73, Salaries/Wages - Regular 438, , , , ,518 73, Salaries And Wages OT 40,509 49,631 43,432 50,400 47,600-2, Food Svc Manager OT 1,847 3,397 3,215 3,050 2, Food Svc Worker OT Salaries/Wages - Overtime 42,356 53,028 46,895 53,450 50,575-2, Food Svc Manager PT 3,502 2,994 5, ,250 1, Food Svc Worker PT 571, , , , ,764 41, Salaries/Wages - Part-time 574, , , , ,014 43, Food Svc Manager Temp 9,025 17,479 5,085 4,000 1,200-2, Food Svc Worker Temp 10,393 23,598 21,332 8,600 1,000-7, Salaries/Wages - Temporary 19,418 41,077 26,417 12,600 2,200-10, Food Svc Worker Sub 20,237 34,960 26,726 20,200 30,900 10, Salaries/Wages - Substitutes 20,237 34,960 26,726 20,200 30,900 10, Food Svc Manager Supplement 9,776 30,954 10,530 12,900 9,300-3, Supplements 9,776 30,954 10,530 12,900 9,300-3, Personal Day Payout Other Salaries Page 129

137 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference 51 Personal Services 1,105,308 1,127,126 1,095,827 1,403,054 1,513, , FICA Expense 79,929 81,744 78, , , Social Security 79,929 81,744 78, , , VRS Retirement 46,233 49,335 67,623 60,979 79,525 18, VRS Retiree Healthcare Credit 1,600 1,668 3, Retirement 47,833 51,003 70,734 60,979 79,525 18, Healthkeepers 119, , , , ,389 5, Dental Ins Active 3,542 2,940 3, Health Premiums 122, , , , ,389 5, VRS Group Life Insurance 1,196 1,136 5,375 5,899 6, Group Life Insurance 1,196 1,136 5,375 5,899 6, Workers Comp Indemnity 5,165 8,007 6, Workers Comp Medical And Other 43,059 11,832 6, Workers Comp And Other Chgs Workers Compensation 48,294 19,838 12, Employee Benefits 299, , , , ,635 24, Bldg Repair Maint 1, Electrical Equip Repair Maint Other Maint Svc Cont 18, ,420 14,500 2,650-11, Maintenance Services 19, ,645 14,500 2,650-11, Other Contractual Svcs 180, , , , ,658-7, Contractual Services 180, , , , ,658-7, Purchased Services 200, , , , ,308-19, Incty Sch Food Svc Admin 324, , , , ,000-17, Incty Sch Food Svc Cty 41,430 31,834 37,503 37,650 38,660 1, Incty Janitorial Svc 7,820 2, , , Intra County Services 373, , , , ,660-20, Internal Services 373, , , , ,660-20, Electric Service 11,666 13,257 14,060 14,400 13, Heating Natural Gas 1,501 1,098 1,452 1,500 1, Utilities 13,166 14,355 15,512 15,900 14,900-1, Bldg Rent Or Lease 314, , , , ,707-96, Leases/Rentals 314, , , , ,707-96, Mileage 4,116 4,624 5,746 4,165 4, Travel 4,116 4,624 5,746 4,165 4, Refunds , Miscellaneous Charges , Other Fees And Charges 71,571 88,575 92,381 88,800 93,100 4,300 Page 130

138 FINANCIAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 FY14 to FY15 Object Description Actuals Actuals Actuals Adopted Adopted Difference 559 Miscellaneous Fees and Charges 71,571 88,575 92,381 88,800 93,100 4, Other Charges 403, , , , ,187-92, Office Supplies Food 1,816,823 1,887,677 1,892,653 1,915,690 1,960,400 44, Janitorial Supplies 9,091 2,883 5,598 6,220 2,360-3, Repair Maint Supply 2, Uniforms 10,699 14,784 11,757 11,350 6,350-5, Footware 1, ,071 2, , Other Operating Supplies 134, , , , ,130 13, Supplies 1,975,053 2,029,684 2,030,674 2,048,725 2,095,440 46, Exp Site Improvement 0 0 4, Exp Mach And Equip 9, Exp Furniture And Equip Rpl , Exp Computer Equip Rpl 9,232 7, , , Exp Education Equip Rpl 61,497 82, , , Expendable Equipment Replacement 79,970 89,608 15,463 10, , Exp Furniture And Equip Add 4, , , Exp Radio Equip Add Exp Education Equip Add 1, ,185 20,000 17, Exp Audio Visual Equip Add ,000 15, Expendable Equipment Additional 5, ,755 35,000 28, Fund Balance Funded 2,347,056 2,266,891 1,651, ,263 1, Unallocated Appropriation 2,347,056 2,266,891 1,651, ,263 1, Materials & Supplies 4,407,726 4,386,183 3,697,799 2,066,346 2,132,703 66, Capital Education Equip Rpl 0 74,448 45, Capital Equipment Replacement 0 74,448 45, Capital Mach And Equip Add 0 66, Capital Educational Equip Add 80, , , Capital Equipment Additional 80,973 66, , , Bldg Improvement 246, Capital Other 246, Capital Outlay 327, ,230 45,399 8, , Transfer to School CIP Fund , Transfer to School Grants / CIP , Transfers , Total Non-Federal Food Service Fund 7,117,978 6,888,055 6,476,108 4,777,000 4,838,000 61,000 Page 131

139 FINANCIAL SECTION APPROPRIATION CATEGORIES, OBJECTS OF EXPENSE AND REVENUES Accounting Hierarchy for Expenditures: Section of the code of Virginia sets forth requirements for system of accounting, statements of funds available, classification of expenditures. The State Board, in conjunction with the Auditor of Public Accounts, shall establish and require of each school division a modern system of accounting for all school funds, state and local, and the treasurer or other fiscal agent of each school division shall render each month to the school board a statement of the funds in his hands available for school purposes. The Board shall prescribe the following major classifications for expenditures of school funds: (i) instruction, (ii) administration, attendance and health, (iii) pupil transportation, (iv) operation and maintenance, (v) school food services and other noninstructional operations, (vi) facilities, (vii) debt and fund transfers, (viii) technology, and (ix) contingency reserves. Building on this requirement, the following is the hierarchy for expenditures: 1) Funds 2) Appropriation Categories 3) Functions 4) Programs/locations 5) Objects of Expense - Object codes are used to specify the actual service or item procured by the school division. This level of detail provides accurate accounting of expenditures within the various school and central office budgets. Description of School Funds: The FY2015 adopted budget for is comprised of five funds. These funds are described in summary below and in much greater detail throughout this document. Operating Fund: This fund totals $567,304,500 and 7,118.6 full-time equivalent positions or FTEs for FY2015 and finances the majority of the division s daily operating functions. Nearly 100% of the revenue supporting this fund is derived from state and local sources, primarily state aid, sales tax and the county transfer. Grants Fund: Funding is received to support this fund from both the state and federal governments, as well as from public and private organizations. The estimate for FY2015 for the grants fund is $24,862,000 including full-time equivalents (FTEs). In total, CCPS receives funding from approximately 30 grant sources on an ongoing annual basis. This funding supports programs such as the Individuals with Disabilities Education Act (IDEA), Title I, Title II, Title V, Headstart, Drug-free Schools. Governor s Technology Initiative, Carl Perkins Vocational Education and Adult Education. Federal Food Services Fund: operates a federal school lunch program in the elementary and middle schools. Federal and state funds are received as well as revenue from sale of meals. State revenue is received for the State's share of the Federal program. This fund is not supported by County resources. Federal revenue is distributed based on the number of breakfasts and lunches served in the participating schools. Planned expenditures of $21,520,900 and FTEs in FY2015 include all operating and administrative costs for all K-8 food services, including a transfer to the School Operating Fund annually to partially offset the cost of building usage. Beginning in FY2009, a breakfast program was made available in all of our elementary and middle schools. Non-Federal Food Services Fund: The division also operates a self-supporting non-federal lunch program in each of the high schools. This program was initiated in FY1993 as an alternative to the decline in participation at the high school level in the federal school lunch program. No financial assistance is received from local, state or federal agencies. Sale of meals and vending items provide the largest source of revenue for this program. Planned expenditures of $4,838,000 and FTEs in FY2015 include all operating and administrative costs for grades 9-12 food services, including a transfer to the School Operating Fund annually to partially offset the cost of building usage. An a la carte breakfast program is also served in each of our high schools. Capital Improvement Fund: This fund supports construction and renovation projects, major maintenance for our facilities, and the technology plan. The budget for this fund generally spans five years; however, the current CIP approved for FY2015 is a 9-year plan. Funding sources include debt proceeds, funding from the governor s state technology initiative and pay-as-you go cash funding. Page 132

140 FINANCIAL SECTION SUMMARY OBJECT CODE DEFINITIONS: 51 Series Personnel The 51 series of object codes ( ) includes salaries and wages for employees of the school division as well as overtime expenditures, supplements, and other allowances. The 3rd digit of the object code determines full-time, part-time, temporary, etc. as follows: 1 = Full-time, 2 = Overtime, 3 = Part-time, 4 = Temporary, 5 = Substitute, 6 = Supplemental Pay, 7 = SRP. 52 Series Benefits The 52 series object classification codes are used for payment of benefits provided as part of an employee s overall compensation and includes FICA, pensions, insurance, and allowances. 53 Series Contractual Services The 53 series of object classification codes are used for contractual services to institutions and to individuals. 54 Series Internal Charges The 54 series object classification codes are charges from one activity/element of the local government to another for the use of intragovernmental services such as purchasing, risk management, fleet maintenance, and accounting. 55 Series Other Charges The 55 series of object classification codes are used for the procurement of other services such as travel, utilities, rentals and registration fees. 56 Series Supplies and Materials The 56 series of object classification codes are used for the procurement of instructional and general use supplies and materials of all types with a per-item cost up to $4, Series Payment to Joint Operations These are payments for operations that are jointly operated by two or more local governments. An operation is jointly operated if the local governments has responsibility for ownership and policymaking. 58 Series Capital Outlay The 58 series of object classification codes are used for the procurement of all additional and replacement items of a capital outlay nature. As a general rule, capital outlay items are those that have a useful life of several years, and have a per-item cost of at least $5, Series - Other Uses of Funds The 59 series of object codes denotes other uses of funds such as redemption of principal and interest on long-term debt as well as lease-purchase payments. 61 Series Transfers Out The 61 series of object codes are used to classify transfers out of the operating fund to other funds such as matching funds for grants and reserve set-aside for capital projects. Page 133

141 FINANCIAL SECTION REVENUE OBJECT CODE DEFINITIONS: LOCAL REVENUE The Board of Supervisors appropriates a number of miscellaneous revenue sources such as facility rentals, tuition and student fees. These sources are described below. Room Rental Many of the schools in Chesterfield County are used by faith-based organizations, dance companies, non-school sports programs, and boy and girl scout troops. These funds partially offset the costs of custodial services and utilities. Management Charges CIP Management Charges are incurred to offset the expenditures of the CIP Administration Office for oversight of various construction projects. Student Parking Fees CCPS charges fees to high school students who choose to drive personal vehicles to school. The schools retain $5.00 per student fee to cover the cost of parking decals, and the remaining funds are a general revenue source for the operating fund. Chromebook Fees Beginning in FY2015, CCPS will implement the first phase of the Chromebook Initiative, providing all middle school students with a Chromebook. Each student will pay a $50.00 fee. $25.00 of this fee will be retained in the operating funds for costs associated with lost cords, damages to equipment, etc., while the other $25.00 will be transferred to the CIP fund to help offset the cost of the initiative. Print Shop Charges The CCPS Print Shop is located in the Chesterfield Tech Center at Courthouse and provides printing services for schools and departments, as well as some County offices. Food Service Use of Buildings The food services funds are charged for use of school buildings annually. The amount charged is determined by the allowable unrestricted Indirect Recovery Rate set by the VDOE annually. Tuition - Other Localities Tuition is charged for Virginia students who do not reside in Chesterfield County but who have been approved to attend Chesterfield County Public Schools in accordance with the Code of Virginia, Chapter 22, Section Tuition - Summer Session Summer Session tuition rates are set prior to the beginning of the summer school session each year. These funds offset a portion of the costs of the various programs offered in summer school. Tuition - Summer Online Learning Online summer courses are offered to CCPS students, as well as students from other localities. These funds offset the costs associated with the summer program. Tuition - Driver's Education County students who enroll in a driver's education course are assessed a fee. Page 134

142 FINANCIAL SECTION Adult Education The Adult Education program collects fees and tuition in support of its various programs, including the nursing program and alternative day school classes. Sale of Equipment Funds are received from the sale of obsolete equipment, vehicles, and textbooks by the School Division. Postage Sales The Chesterfield County Public School mailroom processes all mail for the County and the Schools. Field Trip Transportation Charges Chesterfield County school buses are used throughout the school year for a variety of field and athletic trips. Donations CCPS receives donated funds from outside organizations, as well as individual school's activity funds for various expenses throughout the year. Reimbursed Services CCPS receives reimbursements for various expenditures throughout the year, such as Wellness, Recertification, COBRA insurance, and personnel expenditures covered by School Activity Funds. Miscellaneous Revenue Funds are received annually for ERATE (a federal program sponsored by the Federal Communications Commission (FCC) to provide discounts for telecommunication services) and Anthem health insurance refunds. Insurance Recovery Schools and departments file for losses or damages to property and materials, then pay for repairs or replacements. CCPS receives funds from Risk Management to reimburse for those repairs or replacements. FEDERAL REVENUE Federal revenue in the operating fund consists of general funds that are paid directly to the school division for the operation of instructional programs. These funding sources constitute a small portion of the total operating fund. All Federal funds, except Impact Aid, are also appropriated by the General Assembly through the Appropriation Act and administered by DOE. Impact Aid receives Federal funds from the Federal Department of Education based on information submitted annually as a local education agency (LEA) that serves significant numbers of federally connected children. Junior Reserve Officers Training Corps (JROTC) receives funds from the federal government for our participation in Junior Reserve Officer's Training Corps at five of our high schools. The Air Force program is offered at Monacan High School, the Naval program at James River High School, and the Army program at Midlothian, Meadowbrook and Thomas Dale High Schools. The funds received help offset salaries for administrators of this program. Page 135

143 FINANCIAL SECTION COUNTY REVENUE County General Fund Transfer The Chesterfield County General Fund Transfer supports the School Division's operations and debt service. Prior Year Fund Balance In recent years, the school division has been dependent on the appropriation by the Board of Supervisors of prior year remaining balance to fully fund the annual operating budget. Dependency on this funding source, at one time as much as $12 million, has been decreasing which is a priority in the five-year plan. Beginning Balance As required by County Government, ' budgets $1,000,000 as a beginning balance annually. STATE REVENUE State funding is provided to local school divisions through the Direct Aid to Public Education budget in the Appropriation Act. The General Assembly appropriates the funds and the Department of Education is charged with administering the funds. Funding is provided in these five major categories which are described in more detail below: VI. Standards of Quality (SOQ) including State Sales Tax VII. Incentive Programs VIII. Categorical Programs IX. Programs funded with Lottery Proceeds X. Supplemental Programs I. Standards of Quality Funding The Virginia Constitution requires the Board of Education to formulate the Standards of Quality for public schools. The General Assembly may revise the SOQ, determines the cost of the SOQ, and apportions the cost between the state and localities. The SOQ is established in the Virginia Constitution as the minimum educational program school divisions must provide. The specific requirements of the SOQ are set forth in the Code of Virginia and the Appropriation Act and include programs and staffing. State funding must be matched by the locality ( required local effort ) and is primarily based on the Composite Index. Funding for the Standards of Quality is provided through a number of accounts, mostly on a per student (in average daily membership) basis. These accounts include: Basic Aid (including health care) Fringe Benefits for funded positions Special Education (VRS, Social Security, Group Life Ins.) Career & Technical Education Sales Tax (1.125%) Prevention, Intervention, and Textbooks Remediation Early Reading Intervention Gifted Education Algebra Readiness English as a Second Language The per pupil amounts for these accounts are determined by a very complex formula (commonly referred to as the JLARC Methodology developed in the mid/late 1980s). The methodology recognizes three major components: 4. Required number of instructional positions based on the staffing standards contained in the SOQ, Appropriation Act, and Board of Education regulations, with funded salaries and benefits applied to the positions. 5. Recognized support positions with funded salaries and benefits. 6. Recognized non-personnel support costs (i.e. utilities, supplies, etc.). The support position and non-personnel support costs are based mostly on prevailing costs (a formula comprised of spending by local school divisions for these items). Support positions are now capped based on a ratio to funded instructional positions. Almost all localities hire more instructional positions than those required by the SOQ and funded by the state. Any positions over and above the required number are funded 100% by the locality. Once per pupil amounts have been determined, apportionment of the costs between the state and locality is based upon the Composite Index of Locality Ability-to-Pay. This formula is determined by the General Assembly and set forth in the Appropriation Act. The formula uses three indicators to determine ability to pay Page 136

144 FINANCIAL SECTION 4. True value of real property in the locality (50%) 5. Virginia adjusted gross income in the locality (40%) 6. Taxable retail sales in the locality (10%). To account for varying sizes of localities, each indicator is expressed on a per capita basis (using local population) and weighted 1/3 and on a per student basis (using student enrollment) and weighted 2/3. The composite index value is the proportion of local values relative to state averages. Each index is adjusted to establish an overall local share of 45% and a state share of 55%. The maximum index is.8000 (meaning a locality will not have to pay more than 80% of the calculated SOQ costs). II. Incentive Funding Incentive programs are voluntary programs but in order to receive the state funds school divisions must agree to meet the requirements of the various programs. They must certify that they will offer the program, meet the requirements and provide the required local effort for those programs. Examples for FY15 include Governor s Schools, Math/Reading Instructional Specialists, Early Reading Specialists, Special Education Endorsement Program and Clinical Faculty Program. III. Categorical Funding Programs in this area are primarily driven by state or federal requirements and may exist in some public school divisions and not in others. Programs are usually targeted to the particular needs of specific student populations such as students that are homebound, housed in local jails, or in regional detention facilities. Other programs include Virtual Virginia and Adult Education and Literacy. IV. Lottery Proceeds Fund State law requires that revenue from the Lottery Proceeds Fund be designated for public education. To ensure this occurs, funding for specific programs is included in the Appropriation Act from this Fund. All of these programs are SOQ, Incentive, or Categorical programs but are included in this category to clearly illustrate that lottery proceeds are being used to support public education. However, all of these programs were at one time funded with state general fund dollars. Therefore, additional funding was not provided to public education, rather general fund dollars were freed up to be used for other non-education purposes. For FY2015 a total of nineteen programs are funded from the Lottery Proceeds Fund. Some are SOQ accounts, such as textbook funding which is split-funded with the SOQ, SOL Algebra Readiness, Early Reading Intervention, and English as a Second Language. Others are incentive programs and include K-3 Primary Class Size Reduction and the Virginia Preschool Initiative. Still others are categorical programs and include the Mentor Teacher Program, School Breakfast Program, and Project Graduation among others. V. Supplemental Education Programs Funding in this category is directed to specific regional programs, selected school divisions or even individuals for specific purposes and are not available on a statewide basis. Examples include the Virginia Teaching Scholarship Loan Program and National Board Certification teacher bonuses. GRANTS FUND REVENUE The Grants Fund for Chesterfield County Public School is funded primarily with federal revenue. Federal funds supporting education in the Commonwealth are derived from the U.S. Department of Education and the U.S. Department of Agriculture. Grants from these entities are provided to the Commonwealth and then passed through to local school divisions for specific purposes. These federal funds are appropriated by the General Assembly in the Appropriation Act. Grant awards are made to the local school divisions with payments made on a reimbursement basis. The federal programs included in the in the FY2015 Budget are: 13. Elementary and Secondary Education Act (No Child Left Behind Title 1) - $5,757, Individuals with Disabilities Act - $10,675, Preschool Handicapped - $193, Carl Perkins Act - $595, Headstart - $1,102, Title II - $1,250, Title III - $450, st Century Learning - $511, WIA (Workforce Investment Act) - $355, VCU META - $75, Richmond Regional Homeless - $15, Adult Education - $370,000 State revenue is included in the FY2015 budget for grants such as the Governor s Technology Initiative ($1,688,000); Medicaid ($105,000); Project Graduation ($65,000); Foundation for Healthy Youth ($60,000); General Adult Ed and Race to GED ($94,000); and Jobs for Virginia Graduates ($21,000); Individual Student Alternative Education Plan ($47,152); Peer Tech ($10,000) and Teacher Mentor Grants ($34,000). Local funds are also included in the FY2015 budget for grants. These funds include a transfer from the Operating Fund for various grants of $647,600; and tuition and indirect recovery funds totaling $740,000. Page 137

145 FINANCIAL SECTION FOOD SERVICES REVENUE included funds totaling $26,358,900 in FY2015 for the operation of Food Service programs for all schools. The Federal Food Service fund includes $21,520,900 and serves students in elementary and middle schools, while the Non- Federal food Service fund totals $4,838,000 and serves high school students. The Federal Food Service fund includes Federal Funds of $10,065,000. Those funds support the following programs: 5. Federal Breakfast Program - $1,785, Federal Fresh Fruits and Vegetables Program - $280, Federal Lunch Program - $6,700, USDA Program - $1,300,000 State funds of $413,050 are included in the Federal Food Service fund for state programs such as State Breakfast ($215,050) and State School Lunch ($198,000). Local funds totaling $11,042,850 are included in the Federal Food Service fund for Sale of Student Lunches ($3,550,000); Pupil Breakfasts ($190,000); Adult Lunch Sales ($165,000) Ala Carte ($4,005,000); Vending Sales ($184,000); Management Charges ($1,533,350); a Use of Reserves (balances from prior years) of $1,250,000 and other local revenue totaling $165,500. Included in the $4,838,000 in the Non-Federal Food Service Fund is local revenue for Breakfast and Lunch Sales ($4,088,450); Vending ($648,000); Management Charges ($40,850) a Use of Reserves (balances from prior years) of $50,000 and other local revenue of $10,700. Page 138

146 FINANCIAL SECTION ADOPTED BUDGET CHANGES FY2014 TO FY2015 The revenues available for the day to day operations of the school division are budgeted in the operating fund. For FY2015, the expenditures in this fund will increase by $32.8 million or about 6.1%. Given that the expenditure increases exceeded the level of revenue available, reductions were made to bring the budget into balance. Projected grant funding, budgeted in a separate fund, has declined $2.2 million or 8.1% due to the loss of several grants as well as adjustments to bring FY2015 projections more closely in line with FY2014 actual awards. Food service expenditures, in two separate funds, will increase about $900,000 or 3.5% in response to the opening of an additional educational facility as well as capital improvements to a number of existing facilities. Revenue - FY2014 Adopted Operating Budget $ 534,509,400 FY2014 Adopted Grants Budget $ 27,059,000 local revenue 1,235,000 Adjustments: state aid 16,896,100 IDEA (675,000) state sales tax 369,600 Headstart (265,000) county transfer 14,286,500 Title II (195,500) Federal 7,800 Teaching American History (342,900) Revenue - FY2015 Adopted Operating Budget $ 567,304,500 Workforce Investment Act (475,700) Medicaid (95,000) grants administration (100,000) Expenditures - FY2014 Adopted Budget $ 534,509,500 other adjustments (47,900) Baseline Adjustments FY2015 Adopted Grants Budget $ 24,862,000 workers compensation 2,000,000 transportation - home to school 754,000 fund balance - unfunded 586,500 fund balance funded 525,500 homebound education 458,300 FY2014 Food Service Funds (combined) $ 25,488,000 athletic/academic supplements 375,000 substitute teacher pay 340,000 Revenue Adjustments: special ed transportation 320,000 Meal sales 585,000 comprehensive services 249,800 Federal funding 655,000 Compensation Use of reserves (376,200) VRS rate change 7,610,100 State 7,100 1% salary increase 3,800,000 annualize salary increase 2,940,000 FY2015 Food Services Funds $ 26,358,900 annualize health care costs 2,700,000 New Students FY2014 Food Service Funds (combined) $ 25,488,000 student growth 1,418,000 K-3 935,000 Expenditure Adjustments: New or Expanded Initiatives salary adjustments 260,100 decrease PTR divisionwide 6,271,000 benefit and workers comp increases 261,100 replacement buses 2,000,000 staff for new tech center 138,800 CIP reserve 1,855,600 capital equipment purchases 533,100 CTC@Hull opening 1,500,000 CIP reserve transfer (322,200) safety net funding 343,200 data lines (increased bandwidth) 100,000 FY2015 Adopted Food Service Funds $ 26,358,900 Reductions outsourcing custodial - 8 schools (1,500,000) Total FY2015 Adopted Budget $618,525,400 warehouse reduction (534,900) debt service (500,000) county charges for services (287,500) special ed aide reduction (8 FTEs) (208,500) building lease (188,500) salary lapse (177,000) wellness (127,000) other adjustments (763,400) Expenditures - FY2015 Adopted Budget $ 567,304,500 Page 139

147 FINANCIAL SECTION KEY FACTORS AFFECTING BUDGET DEVELOPMENT Student membership is expected to be 58,867 at September 30, 2014, representing an anticipated increase of 150 students over actual September 30, 2013 membership or 473 over the projection for FY2014. The ADM projection at March 30, 2015, is 58,604. Operating fund revenue for FY2015 is projected to increase 6.1% over the FY2014 approved budget, or $32.8 million. This increase includes changes to our fee schedules increasing facilities rentals and driver education, and instituting a fee for middle school chromebooks.. State revenue will increase nearly $17 million, primarily the result of rebenchmarking in the first year of the biennium. A projected increase of 150 students for FY2015 will add to the state aid increase. The county s general fund transfer is also expected to provide a substantial increase at $14.3 million. Instruction continues to receive the majority of funding in the operating budget at more than 70%, with 10% to operations and maintenance, 8% to debt, 6% to transportation, less than 4% to administration, attendance and health and 2% to technology. The Virginia Retirement system rate increase for FY2015 is 15.56%, an increase of 2.8 percentage points over FY2014 at an additional cost of $7.6 million for the operating fund. For FY2013, the General Assembly also enacted legislation requiring employers to discontinue paying the employee share of the VRS contribution. In that year, began phasing in this legislation by requiring employees to pay an additional 1 percent of the contribution to a maximum of five percent. For FY2014, the School Board made the decision to require employees to pay the remaining 4 percent rather than phasing it in over the next four years. This requirement was offset by an additional salary increase for current employees in both years. Employees new to CCPS as of July 1, 2012 and beyond will pay the full 5% employee share immediately with no offset available. The base pupil-teacher ratio (PTR) will remain at the FY2014 level -- 25:1 for elementary, 27:1 for middle schools, and 26:1 for high schools; however, an additional divisionwide reduction of 1 in the PTR will be applied to targeted schools and programs with the highest need. The cost of the reduction of 1 in PTR is $6.3 million and FTE. The FY2015 adopted budget includes a pay increase of 1% for all eligible employees scheduled to take effect July 1, 2014 at a cost of $3.8 million. It also includes the restoration ($375,000) of the previous reduction of 15 percent for athletic and academic supplements. Annualizing the January 1, 2014 salary increase and the 2014 calendar year costs for healthcare will cost an estimated $5.6 million. Significant contributions by the School Board for employee and retiree health insurance will continue into FY2015. The contribution to the Supplemental Retirement Plan will continue at the FY2014 level for all active employees as of June 30, The program was discontinued for all new employees beginning in FY2014. To insure full funding of accounts such as workers compensation, substitutes, homebound instruction, and transportation costs, $3.9 million has been included in the FY2015 budget. Capital funding for schools bus replacements increases by $2.0 million in FY2015 as a result of the one time funding for this purpose. The Five-Year plan includes funding to continue to replace our aging fleet. Plans are well underway to open a second career and technical center in the fall of 2014 CTC@Hull. The renovated school building will also house the majority of our instructional staff. The incremental cost of staffing, materials and utilities is $1.5 million. Pay as you go funding, or the CIP Reserve Transfer, is cash to support capital improvement projects in lieu of incurring further debt for such projects, and has been limited in recent years as a result of budget reductions. The five year plan addresses the rebuilding of that funding source, beginning with $1.5 million for FY2015. The five year plan will build on that amount so that we can meet the guideline of five percent of the county s general fund transfer or approximately $14.5 millon by FY2019. Student growth, measured budget to budget at 473 students and 9/30/13 actual membership to adopted FY2015 budget at 150, will cost an estimated $1.4 million in additional teaching staff and materials. Continued full participation in the state s K-3 class size reduction program is funded at an additional cost of $935,000. Page 140

148 FINANCIAL SECTION Safety net funding will be increased by $343,000 in FY2015. The purpose of safety net funding is to support students who may be struggling academically and who require additional remediation or intervention efforts tailored to their areas of academic need. Safety net funding may be used to support before- or after-school remediation or additional intervention for individual students or small groups of students. Equipment for the anywhere, anytime learning initiative (blended learning) is funded in the Capital Improvement Plan and is scheduled to begin in the fall of 2014 when middle school students will receive laptop computers (Chromebooks). High school students are scheduled to receive these devices in the fall of This will address the goals of the Design of Excellence 2020 strategic plan by providing students daily access to technology. An additional $100,000 has been included in the FY2015 budget for increased bandwidth to support this initiative. As part of the Board s efforts to create additional efficiencies and maximize funding for instruction, CCPS will embark upon a plan to begin the outsourcing of custodial services in FY2015. This plan will save about $1.5 million in FY2015. At the same time, the warehousing function has been downsized to include only essential functions such as supplying of classroom furniture and providing interoffice and US mail service. This change saved the school division approximately $500,000. There are a number of relatively small reductions included to balance the FY2015 adopted budget. First, debt service payments will decline slightly in FY2015, about $500,000. A reduction in county services of about $290,000 is all but offset by an increase in comprehensive services. The planned building lease payments for current administrative space (IDC) for the instructional staff has been reduced to reflect the relocation to office space in the new career and technical center ($188,000). There is also a reduction in the wellness budget of $127,000 to offset the loss of gainsharing revenue following the divisionwide move to a self insured healthcare plan. A reduction in special education instructional assistants yields another savings of $208,000. There are other numerous technical adjustments across the division for another savings of about $415,000 when taking into account the increase in fund balance of $525,000 for unanticipated contingencies that may materialize during the year. The operating fund also includes an unfunded line item (both in revenues and expenditures) of $586,500 to account primarily for changes in state revenue that occurred after the county had adopted its budget as well as the appropriations for the school division. These line items will insure an appropriate upper limit on actual expenditures and will be adjusted during the budget year to reflect any further changes in revenue that might occur. Grant funding will decline overall by $2.2 million from the FY2014 adopted budget. This is the result of a loss of several grants including the Teaching American History grant and reductions in other grant estimates from FY2014 to more closely match the actual awards from FY2014. The food service funds will increase over the FY2014 budget by nearly $900,000. Capital improvements at a number of school cafeterias as well as the addition of food service at the new career and technical center (scheduled to open in September 2014) accounts for the majority of this increase. Page 141

149 FINANCIAL SECTION SIGNIFICANT TRENDS AND INITIATIVES OPERATING REVENUE - % CHANGE OVER TIME: 8.0% 6.0% 4.0% 2.0% 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% The revenue supporting the operating fund experienced a significant downturn in the years following FY2009 as the recession settled in and the ensuing recovery was slow to take hold. As one can see in the chart above, this had a serious impact on the budgets over the next 5 years. FY2015 is the first year in the past six years in which CCPS could begin to make strides toward rebuilding, given first the reductions in revenue and slow growth afterward coupled with mandated expenditure increases such as the rate for the Virginia Retirement System, an increase in the number of health care participants, and increases in the cost of county-provided services. ENROLLMENT HISTORY & PROJECTIONS: 65,000 60,000 55,000 50,000 45,000 40,000 35,000 Student enrollment showed significant increases year to year (over 1,000 per year) during most of the 1980s with continued strong growth during much of the 1990s and early 2000s. It began to level off around 2008 including two losses in the total number of students around the second decade of the century. Beginning with FY2013, enrollment is starting to increase a small amount, certainly not at the levels of the 1980s and 90s. Projections show this trend will continue for the forseeable future. Page 142

150 FINANCIAL SECTION PER PUPIL EXPENDITURE ADOPTED BUDGET BY FISCAL YEAR: 9,800 9,600 9,400 9,200 9,000 8,800 8,600 8,400 8,200 8,000 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 The per pupil expenditure began to decline after FY2009 as the recession took hold. There have been modest gains since FY2011, however, much of the additional funding has been applied to fixed costs or mandates that did not directly further student instruction. While the estimated per pupil expenditure for FY2015 nearly equals that in FY2009, Chesterfield continues to rank in the bottom 7 percent of Virginia s school districts with regard to the amount spent per student. NUMBER OF TEACHING STAFF BY YEAR: 4,100 4,050 4,000 3,950 3,900 3,850 3,800 3,750 3,700 3,650 3,600 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 Teaching staff (as well as a number of other staff) was reduced significantly in FY2010 and FY2011, with an increase of 1 in the student/teacher ratio taking place in FY2011. During this time, student membership began to grow slightly year over year, necessitating additional staff. For the first time in five years, CCPS is in a position to not only adequately address student growth, but to begin to address the need for lower student/teacher ratios and expanded electives as well with an overall reduction in the ratio of 1 for FY2015. The five year plan includes funding to further reduce student/-teacher ratio over the period. Page 143

151 FINANCIAL SECTION BENEFIT CHANGES: Beginning in January of 2014, the County and Schools converted its health care benefit to a self insured model and began offering a plan with a health savings account to address ever rising health care costs. In addition, the state overhauled the Virginia Retirement system to lower employer costs over time. School divisions were given five years to phase out the payment of the employee share into the plan. Chesterfield elected to turn those payments over to employees completely in FY2014, which will lower our per employee payments over time. OUTSOURCING: For FY2015, the School Board has eliminated much of its warehousing function and will begin outsourcing custodial services at eight of its school locations. These efforts to create additional efficiencies and maximize funding for instruction are expected to save about $2.0 million in FY15. Also in FY2015, Chesterfield County Schools will begin to explore energy performance contracts (ESCOs) as a way to generate additional savings in the coming years through energy conservation. BLENDED LEARNING: The largest portion of the blended learning initiative is being funded from the CIP. For FY2015, Chromebooks will be issued to all middle school students with high schools to follow in F2016. defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. This approach allows teachers to use technology for instruction and student evaluation. Teachers can receive real-time feedback on student performance, and students can learn individually at their own pace. By combining technology and traditional best practices, instruction can be differentiated to meet individual student needs. Instantaneous feedback and individualized instruction will also empower students to take ownership of their learning. BUS REPLACEMENTS: The economic downturn beginning in FY2010 has a serious negative impact on our ability to purchase replacement buses. More than one-third of our active bus fleet (607 buses) is 15 years old or older. With funding of $2 million in FY2015, CCPS will be able to purchase twenty-three replacement buses. Two of these will be propane buses, an experimental step toward a more cleaner, more cost-effective, and more maintenance-friendly fleet. The five year plan addresses further bus replacements over the next several years. SCHOOL REVITALIZATION: In November, 2014, voters approved, by a margin of nearly 72%, a school revitalization program that will either replace or completely renovate nine of our schools most in need. These are the schools addressed in the recently adopted capital improvement plan: Providence Middle, Monacan High, Manchester Middle, and these elementary schools: Beulah, Enon, Matoaca, Harrrowgate, Reams, Crestwood, and Ettrick. The plan will also provide one new elementary school to relieve overcrowding in the northern section of the county as well as renovations to the central office administrative space so that it can remain a viable workspace. Page 144

152 FINANCIAL SECTION FIVE-YEAR PLAN OPERATING FUND The 5-year plan is intended to build on the FY2015 budget using various revenue and expenditure assumptions to create a roadmap for the foreseeable future. The county s contribution to school operations is projected at 2-3% growth, while state funding is projected at a slightly lower growth rate on a biennial basis. Most importantly, this plan reduces the dependence on one-time funding that has been relied upon over the last few recovery years. On the expenditure side, cost requirements such as benefit rate increases and student growth are recognized, as well as modest increases for program enhancements such as additional teachers for further student-teacher ratio reduction and further bus replacements. While the out years are not projected to be balanced at this time, the variances are much more manageable that what has been experienced over the past few years. The five year plan was developed for the operating fund only. The grants and food service funds are anticipated to remain stable with food services changing in response to changes in student membership only, with no more new schools on the horizon for the scope of this plan. FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 Local (inc. $1M reserve) 10,899,700 11,459,700 11,459,700 11,459,700 11,459,700 11,459,700 County - Recurring 247,767, ,879, ,506, ,617, ,181, ,646,600 County - One - Time Capital 2,000,000 2,000,000-3,650,000 1,200,000 County - Addtl recurring (PTR) 3,895,400 3,895,400 3,895,400 3,895,400 3,895,400 3,895,400 Prior Year savings 5,883,700 5,000,000 3,500,000 2,000,000 2,000,000 1,000,000 State 238,220, ,860, ,647, ,287, ,288, ,054,000 Sales Tax (2.5% increase per year) 58,248,300 59,704,500 61,197,100 62,727,000 64,295,200 65,902,600 Federal 390, , , , , ,000 Projected Funds Available 567,304, ,190, ,595, ,026, ,709, ,348,300 Base 567,304, ,976, ,862, ,348, ,787,700 Required expenditure increases: Annualizing Healthcare Costs 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 VRS Rate Change - 3,671,300-5,204,300 - Salary Increase (COLA - est. 1% annually) 4,000,000 4,100,000 4,200,000 4,300,000 4,400,000 Student Growth 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 Debt Service 1,247,700 3,265,700 1,095,100 (708,200) - ESCO savings (560,000) (1,450,800) (109,100) (657,300) Pay as you go Reserve 1,984,400 3,300,000 3,300,000 3,300,000 - Baseline Expenditure Increase 9,672,100 15,886,200 11,486,000 14,438,800 7,400,000 Baseline Subtotal 567,304, ,976, ,862, ,348, ,787, ,187,700 Baseline (Deficit)/Surplus (786,700) (3,267,100) (1,322,400) 1,921,900 3,160,600 Support for College Career Readiness/PTR Reduction/Competitive Salaries/Transportation Targeted PTR Reductions Across the Division 1,567,000 1,567,000 1,567,000 1,567,000 1,567,000 Remediation and enrichment support 500, College and Career Readiness - 220, Professional development , Bus Replacements 250, , Total (Deficit)/Surplus (3,103,700) (5,304,100) (3,474,400) 354,900 1,593,600 Page 145

153 FINANCIAL SECTION CAPITAL IMPROVEMENT FUND The Chesterfield County Charter Section 5.2 specifies that "No later than March 1 of each year, the Superintendent of Chesterfield County Public Schools shall submit to the County Administrator his estimate of projected revenues and expenditures for the next fiscal year in a form requested by the County Administrator as well as a six-year capital improvement program." During the FY2015 budget process, the School Board approved a nine-year capital improvement program (including revisions to FY2014), totaling $397,107,400 to encompass all planned renovation projects as well as ongoing initiatives such as major maintenance and technology. The County Administrator provides to the Superintendent annually a projection of the funding available to the School Board for capital needs. This funding consists of pay-as-you-go dollars referred to as the CIP Reserve, cash proffers negotiated at the time of rezoning to help defray the capital costs associated with the resultant development, and the capacity to issue general obligation bonds of the County. The capacity is determined in accordance with fiscal policies of the Board of Supervisors. Debt service on bonds issued by the County on behalf of the School Board is included in the School Board s operating budget adopted annually. The Capital Improvement Plan is designed to closely align with Chesterfield County s Comprehensive Plan and is based on three important tenants; ensuring sufficient and appropriate educational space for our students, properly maintaining all facilities, and promoting parity and equity among all schools. The public facilities plan included in the Comprehensive Plan states: high performing, high quality public schools contribute to the quality of life and economic vitality of Chesterfield County. The importance of providing school facilities equitably to all county residents is paramount, as is finding ways to plan and adapt to future needs on the basis of anticipated trends in demographics and technology. On November 5 th, 2013, voters in Chesterfield County approved a $304.0 million bond referendum for school projects to include renovations or replacement of ten older schools and the addition of a new elementary school over a seven year timeframe. Also included on the ballot was an initiative to institute a two percent meals tax that would have generated about $8 million annually, specifically restricted to fund the referendum projects. This proposal was not approved by the voters. The outcome of the referendum and meals tax questions in the election, coupled with the ongoing importance of revitalizing the community, prompted evaluation of alternative solutions to fund the CIP plan for Chesterfield County Schools. The plan ultimately approved by the Board of Supervisors consists of multiple components to reduce the overall amount of debt issued, thus reducing the associated debt service overall. The adopted plan includes funding school revitalization projects over nine years rather than seven, as originally planned. In addition, the County postponed two 2004 bond referendum projects (the Robious library and the Route 288 fire station) and modified the scope of the Enon fire training support building. This resulted in $22 million in project funding to be reallocated to the school revitalization program. The School Board, in approving a CIP plan for FY2014 (revised) , projects the following funds to be available: CIP Reserve at $45,118,000; cash proffers estimated at $26,162,000; debt financing of $291,600,000, School Nutrition Services funds of $2,124,200, State Technology funds of $18,000,000, as well as an additional transfer from the County ($4,850,000) that will fund a portion of major maintenance in FY2018/FY2019 and an operating transfer totaling $9,253,200 that will fund a portion of the technology plan. 1. Revitalization or Replacement of Existing Facilities Due to continued minimal increases in student enrollment through FY2020, this Plan includes only minimal additional classroom seats at existing schools. The remainder of the Plan focuses on full revitalization or replacement of schools based on need. A full revitalization consists of site improvements (parking, bus loop, playfields, storm water and utility improvements), the building envelope (roof, insulation, exterior wall repair, windows and doors), finishes (floors, ceilings, interior wall repair, casework, and special finishes), mechanical, plumbing and electrical systems, life safety systems, ADA compliance and owner costs (A/E fees, utility and permit fees, furniture, equipment, and contingencies). 2. New School Elementary schools in the northwestern portion of the County are all operating near or above functional capacity. Even with an addition completed at Watkins Elementary School in 2012, the school remains at 140% of capacity. Funding is included in this Plan to design and construct a new elementary school to provide much-needed relief to this area of the County. 3. Administrative Space The current School Board Administration Building was constructed in 1968 with no major renovations or systems upgrades since that time. Funds have been included in FY2015 and FY2016 ($2,000,000) for planning and improvements to the building to enable it to remain viable for use. Page 146

154 FINANCIAL SECTION 4. Major Maintenance As of the fall of 2013, the school division has 64 school buildings and 11 additional buildings totaling more than 8 million square feet under roof. Thirty-nine schools are 40 or more years old, with twenty-three schools years old. Only six schools are less than ten years old. As the facilities age, regular renovations and improvements become even more critical. While nine schools are included for total revitalization or replacement, the remaining buildings must be maintained. On an annual basis, projects in major categories will need to be completed. The major categories for the anticipated needs are roof replacements, floor coverings, mechanical systems replacement and upgrades, exterior facility repairs and maintenance, other building renovations, and grounds improvements. Committing funding to facility improvement projects in the categories identified above will enable the school division to make reasonable progress toward meeting the ongoing need for facility improvements as the buildings age. This funding commitment will increase the life expectancy as safe and productive environments for teaching and learning. A total of $19,500,000 is included in the Plan for major maintenance. In addition, nearly $30 million is included for lighting, heating, ventilation, and air conditioning system upgrades at various schools. This work will be performed as part of a planned contract with an energy savings company. Also, security enhancements are needed to ensure our students and faculty are housed in the safest and most secure environment possible. A total of $2,961,200 is included for these improvements. 5. Technology The current capital improvement plan provides funding for the implementation and maintenance of Chesterfield County Public Schools Technology Master Plan. The plan incorporates the further integration and replacement of technology in the classroom, professional development of teachers, the connectivity of infrastructure, hardware and software, and the evaluation of the technology system. The Technology Master Plan is revised periodically and approved by the School Board. There are two components included in this project. They are 1) computer replacement, supporting the replacement of critical aging computer equipment throughout the school division after an average useful life of four years and 2) state technology grant funding which permits the update of needed IT infrastructure to accommodate on-line SOL testing. This capital improvement plan also supports the blended learning initiative. defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. Blended learning began in CCPS in FY2013 with targeted professional development for all instructional staff as well as selection of digital content. Blended learning will continue into FY2015 with the purchase of laptops for every middle school student, followed by the implementation at the high school level in FY2016. The funding in this project will be used to purchase the devices and replace them on a regular schedule. Information provided on the following pages: o FY Capital Improvement Plan Financial Summary o Data on functional capacity, enrollment and mobile classrooms as of fall of 2013 o Enrollment data at the elementary, middle, and high school level for the past thirty years o School CIP summary with project descriptions and fund sources Page 147

155 FINANCIAL SECTION FY2014 FY2022 CIP Summary Sources: FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Grand Total CIP Reserve Transfer $2,190,000 $3,350,000 $5,654,000 $5,654,000 $5,654,000 $5,654,000 $5,654,000 $5,654,000 $5,654,000 $45,118,000 Additional Transfer - County Contribution 3,650,000 1,200,000 4,850,000 Operating Transfer 0 380,000 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 9,253,200 Debt Financing - G.O. Bonds 7,500,000 39,240,000 37,850,000 20,337,300 21,197,300 30,200,000 33,000,000 38,660,000 16,600, ,584,600 Debt Financing - G.O. Bonds (County Contribution) 860,000 6,362,700 5,402,700 4,440,000 17,065,400 Debt Financing - ESCO 4,000,000 1,700,000 14,650,000 1,600,000 1,600,000 1,600,000 1,600,000 1,600,000 1,600,000 29,950,000 State Technology Grants (FY14 includes FY13) 3,600,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 18,000,000 School Nutrition Services 1,223, ,000 2,124,200 Cash Proffers 2,162,000 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 3,000,000 26,162,000 Total 20,675,200 51,231,000 64,221,600 40,021,600 43,571,600 44,721,600 46,321,600 56,421,600 29,921, ,107,400 Uses: Major Maintenance $1,000,000 $1,700,000 $1,750,000 $1,700,000 $1,700,000 $1,700,000 $1,700,000 $1,700,000 $1,700,000 $14,650,000 Major Maintenance performed by ESCO 4,000,000 1,700,000 14,650,000 1,600,000 1,600,000 1,600,000 1,600,000 1,600,000 1,600,000 29,950,000 Major Maintenance funded (w/ addtl county contribution) 3,650,000 1,200,000 4,850,000 Security Enhancements 250, , , , , , , , ,600 2,961,200 Technology Plan/replacements 5,540,000 2,610,000 2,140,000 2,140,000 2,140,000 2,140,000 2,140,000 2,140,000 2,140,000 23,130,000 Blended Learning Technology Program (gr. 6-12) 0 2,670,000 6,230,000 6,230,000 6,230,000 6,230,000 6,230,000 6,230,000 6,230,000 46,280,000 School Nutrition Service 1,223, , ,124,200 Future Acquisitions 2,162,000 3,000,000 3,000,000 8,162,000 Subtotal 14,175,200 9,831,000 25,121,600 12,021,600 15,671,600 13,221,600 12,021,600 15,021,600 15,021, ,107,400 Providence Middle Renovation 2,000,000 23,900,000 25,900,000 Monacan High (Gym, Media Center, Admin.) 1,500,000 1,000,000 2,500,000 Monacan High 11,500,000 11,500,000 Manchester Middle Renovation 3,000,000 1,000,000 34,100,000 38,100,000 Beulah ES Replacement 1,000,000 25,000,000 26,000,000 Enon Elementary Replacement 1,000,000 1,000,000 24,900,000 26,900,000 Enon Elementary Replacement 1,000,000 1,000,000 2,000,000 Matoaca Elementary Replacement 2,000,000 1,000,000 27,500,000 30,500,000 Administrative Space 1,000,000 1,000,000 2,000,000 Harrowgate Elementary Renovation 1,000,000 13,800,000 14,800,000 Harrowgate Elementary Renovation 1,000,000 1,000,000 2,000,000 Reams Elementary Renovation 1,000,000 1,000,000 17,500,000 19,500,000 Crestwood Elementary Renovation 1,000,000 1,000,000 13,800,000 15,800,000 New Elementary (Midlothian Area) 1,000,000 1,000,000 1,000,000 27,600,000 30,600,000 Ettrick Elementary Renovation 1,000,000 1,000,000 14,900,000 16,900,000 Subtotal $6,500,000 $41,400,000 $39,100,000 $28,000,000 $27,900,000 $31,500,000 $34,300,000 $41,400,000 $14,900,000 $265,000,000 Grand Total $20,675,200 $51,231,000 $64,221,600 $40,021,600 $43,571,600 $44,721,600 $46,321,600 $56,421,600 $29,921,600 $397,107,400 Notes: The CIP reserve transfer in FY14 and FY15 is funded with savings from prior years' CIP. In FY16, the CIP transfer is a combination of remaining savings from prior years and CIP transfer from the operating fund (approximately $3.2 million in the first year of CIP transfer restoration) ** The Operating Transfer is made up of student fees for the blended learning technology program and operating savings stemming from that program. Page 148

156 FINANCIAL SECTION Fall 2013 Statistics Functional Capacity 2013 Membership % Of Capacity For F13 Classroom Trailers School Over/Under ELEMENTARY ALBERTA SMITH ELEM % 6 BELLWOOD ELEM % 3 BENSLEY ELEM % 6 BEULAH ELEM (26) 105% 7 BON AIR ELEM (10) 102% 2 CHALKLEY, JA ELEM (146) 118% 13 CLOVER HILL ELEM (52) 107% 8 CRENSHAW, THELMA ELEM % 7 CRESTWOOD ELEM % 4 CURTIS, CE ELEM % 0 DAVIS, AM ELEM (67) 111% 6 ECOFF ELEM % 2 ELIZABETH N. SCOTT ELEM % 4 ENON ELEM % 2 ETTRICK ELEM % 1 EVERGREEN ELEM 1,013 1,022 (9) 101% 4 FALLING CREEK ELEM (77) 113% 5 GATES, OB ELEM % 6 GORDON, WW ELEM % 1 GRANGE HALL ELEM % 4 GREENFIELD ELEM % 2 HARROWGATE ELEM % 4 HENING, JG ELEM % 7 HOPKINS ROAD ELEM (16) 103% 5 JACOBS ROAD ELEM % 5 MARGUERITE F CHRISTIAN % 5 MATOACA ELEM % 2 PROVIDENCE ELEM % 4 REAMS ROAD ELEM % 0 ROBIOUS ELEM % 0 SALEM CHURCH ELEM % 0 SPRING RUN ELEM % 0 SWIFT CREEK ELEM (95) 113% 7 WATKINS, JB ELEM 749 1,002 (253) 134% 3 WEAVER, BETTIE ELEM % 5 WELLS, CC ELEM % 2 WINTERPOCK ELEM % 0 WOOLRIDGE ELEM (12) 102% 3 TOTAL 27,003 25, % 145 Page 149

157 FINANCIAL SECTION Functional Capacity 2013 Membership % Of Capacity For F13 Classroom Trailers School Over/Under MIDDLE SCHOOL BAILEY BRIDGE MIDDLE 1,529 1, % 0 CARVER MIDDLE 1,275 1, % 3 ELIZABETH B. DAVIS MIDDLE 1,284 1, % 2 FALLING CREEK MIDDLE 1,222 1,226 (4) 100% 14 MANCHESTER MIDDLE 1,319 1,431 (112) 108% 20 MATOACA MIDDLE 1,438 1, % 3 MIDLOTHIAN MIDDLE 1,506 1, % 7 PROVIDENCE MIDDLE 1, % 3 ROBIOUS MIDDLE 1,364 1, % 6 SALEM CHURCH MIDDLE 1, % 9 SWIFT CREEK MIDDLE 1,021 1,036 (15) 102% 3 TOMAHAWK CREEK MIDDLE 1,366 1, % 1 TOTAL 15,470 13, % 71 Functional Capacity 2013 Membership % Of Capacity Classroom Trailers School Over/Under HIGH SCHOOL BIRD, LLOYD C. HIGH 2,020 1, % 5 CHESTERFIELD COM HIGH % 9 CLOVER HILL HIGH 1,750 1,875 (125) 107% 0 COSBY HIGH 1,750 2,025 (275) 116% 9 JAMES RIVER HIGH 2,131 2, % 2 MANCHESTER HIGH 2,151 1, % 5 MATOACA HIGH 1,794 1,860 (66) 104% 5 MEADOWBROOK HIGH 1,626 1, % 4 MIDLOTHIAN HIGH 1,569 1, % 0 MONACAN HIGH 1,757 1, % 1 THOMAS DALE HIGH 2,824 2, % 7 TOTAL 19,931 18, % 47 APPOMATTOX GOV.'S SCHOOL 129 MAGGIE WALKER GOV.'S SCHOOL 226 GRAND TOTAL 62,413 58, Note: Information provided by the CCPS Planning Department Page 150

158 FINANCIAL SECTION September 30th Membership History Year Elementary Elem Middle Middle High High Total Total Growth ,053 9,058 10,302 34, , , , ,779 1, , , , ,935 1, ,145 1,430 8, , ,847 1, ,446 1,301 8, , ,435 1, ,489 1,043 9, , ,557 1, ,628 1,139 9, , ,967 1, , , , ,480 1, , , , ,691 1, , , , ,001 1, , , , , , , , , , , , ,057 1, , , , , , , , , , , , , , , , , , , , , , , , ,376 1, , , , ,545 1, , , , ,793 1, , , , , , , , ,750 1, , , , ,930 1, , , , , , , , , , , , , , , , , , , , , , , , , , , , , Page 151

159 FINANCIAL SECTION Project Details Providence Middle School Built in 1968 Start date: FY2015 Completion date: FY2019 Cost: $25.9 million Project Description Preliminary funding to begin renovation of the current school was made available in previous CIPs. Funding to complete the construction work is planned for FY2015. This revitalization project will include renovations to the building envelope, mechanical and electrical systems, furniture and fixtures and site improvements. These improvements will provide enhancements and efficiencies to the existing space. Evaluation of existing capacity will be explored during the evaluation phase and options weighed, including possible boundary changes to provide relief in other areas. Project Cost Estimate Site work $3,937,000 Building envelope 6,216,000 Finishes 2,072,000 HVAC/plumbing 6,216,000 Electrical 2,279,000 Owner cost* 5,180,000 Total $25,900,000 * A&E, permits, fees, administration, etc. Funding Summary Funding Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 2,000,000 23,900, ,900,000 Other Cash Proffers Total $2,000,000 $23,900,000 $0 $0 $0 $0 $0 $0 $0 $25,900,000 Page 152

160 FINANCIAL SECTION Monacan High School Built in 1979 Start date: FY2015 Completion date: FY2019 Cost: $14.0 million Project Description Design funds to begin the renovation of the current school were included in the first year of the FY2014 CIP. Construction is planned in FY2015. This revitalization project will provide increased space for fine arts and physical education. The renovation, re-orientation and expansion of administrative area for enhanced security is also included. Project Cost Estimate Office renovation $1,668,000 Fine arts/pe space 2,630,000 Auxiliary gym 9,210,000 Science renovation 425,000 Storage/Tech Ed space 67,000 Total $14,000,000 Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 1,500,000 11,500, ,000,000 Other Cash Proffers 0 1,000, ,000,000 Total $1,500,000 $12,500,000 $0 $0 $0 $0 $0 $0 $0 $14,000,000 Page 153

161 FINANCIAL SECTION Manchester Middle School Built in 1979 Start date: FY2016 Completion date: Fall 2018 Cost: $38.1 million Project Description Preliminary funding to begin renovation of the current school was made available in previous CIPs. Funding to complete the preliminary work is planned for FY2015 with construction to follow in FY2016. This revitalization project will include renovations to the building envelope, mechanical and electrical systems, furniture and fixtures, site improvements, and additional education space that should eliminate the need for the use of trailers at the school. These improvements will provide enhancements and efficiencies to the existing space. The need for additional capacity may be explored during the evaluation phase and options weighed, including boundary changes or adding additional seats. Project Cost Estimate Site work $5,486,000 Building envelope 7,010,000 Finishes 3,658,000 HVAC/plumbing 9,144,000 Electrical 5,182,000 Owner cost* 7,620,000 Total $38,100,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 3,000, ,100, ,100,000 Other Cash Proffers 0 1,000, ,000,000 Total $3,000,000 $1,000,000 $34.100,000 $0 $0 $0 $0 $0 $0 $38,100,000 Page 154

162 FINANCIAL SECTION Beulah Elementary School Built in 1928 Start date: FY2017 Completion date: FY2020 Cost: $26.0 million Project Description The Plan calls for construction of a replacement school with 150 additional seats on a site more centrally located in the school attendance zone. School board and county staff will work together to identify potential sites in FY2015, with construction planned in FY2017. Project Cost Estimate Site work $2,024,000 Building envelope 7,992,000 Finishes 2,160,000 Mechanical 5,184,000 Electrical 3,240,000 Owner cost* 5,400,000 Total $26,000,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,000, ,000,000 Other Cash Proffers 0 1,000, ,000,000 Total $0 $1,000,000 $0 $25,000,000 $0 $0 $0 $0 $0 $26,000,000 Page 155

163 FINANCIAL SECTION Enon Elementary School Built in 1928 Start date: FY2018 Completion date: FY2020 Cost: $28.9 million Project Description Construction of a replacement school on the current site is planned. Numerous building code changes since the original construction, together with the need for additional parking, additional education space to eliminate the need for trailers, and an expanded bus loop and student drop-off, will require the purchase of additional contiguous land to complete the project. The design of the new school will incorporate historical considerations important to the surrounding community. Alternative space must be identified to house the total student body during this demolition and construction process. Preliminary design is planned for FY2016 and with construction to follow in FY2018. Cost Detail Site work $3,237,000 Building envelope 8,554,000 Finishes 2,312,000 Mechanical 5,549,000 Electrical 3,468,000 Owner cost* 5,780,000 Total $28,900,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 0 0 1,000, ,900, ,900,000 Other Cash Proffers 0 0 1,000,000 1,000,000 1,000, ,000,000 Total $0 $0 $2,000,000 $1,000,000 $25,900,000 $0 $0 $0 $0 $28,900,000 Page 156

164 FINANCIAL SECTION Matoaca Elementary School Built in 1937 Start date: FY2019 Completion date: FY2022 Cost: $30.5 million Project Description The Plan calls for preliminary work for a replacement school on the current site beginning in FY2015, with construction slated for FY2019. Additional land will be required to make the new school comparable with other newer elementary schools. The new design will incorporate the "look" of the current building, maintain a multi-story school, and be compatible with Matoaca Village design standards, while eliminating the need to use trailers at the school. Alternative space must be identified to house the total student body during this demolition and construction process. Other options to be evaluated include building a school on a new site close to Matoaca Village. Project Cost Estimate Site work $3,416,000 Building envelope 9,028,000 Finishes 2,440,000 Mechanical 5,856,000 Electrical 3,660,000 Owner cost* 6,100,000 Total $30,500,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 0 2,000, ,500, ,500,000 Other Cash Proffers 0 0 1,000, ,000,000 Total $0 $2,000,000 $1,000,000 $0 $0 $27,500,000 $0 $0 $0 $30,500,000 Page 157

165 FINANCIAL SECTION School Administration Building (Central Office) Built in 1968 Start date: FY2015 Completion date: FY2019 Cost: $2.0 million Project Description The current school administration building is more than 40 years old and has never been renovated. In order for the building to continue to be used as viable administrative space, renovations and system upgrades are necessary. Funding is included in FY2015 and FY2016 for planning, design and needed improvements. Cost Detail New entrance $710,000 Replace office space 420,000 Public meeting room 380,000 Other* 490,000 Total $2,000,000 * Mechanical, code compliance, Americans With Disabilities Act changes and sitework Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt 0 1,000,000 $1,000, ,000,000 Other Cash Proffers Total $0 $1,000,000 $1,000,000 $0 $0 $0 $0 $0 $0 $2,000,000 Page 158

166 FINANCIAL SECTION Harrowgate Elementary School Built in 1959 Start date: FY2020 Completion date: FY2023 Cost: $16.8 million Project Description Design funds for the renovation of the current school are planned for FY2019 with construction to follow in FY2020. This revitalization project will include renovations to the building envelope, mechanical and electrical systems, furniture and fixtures, site improvements, and additional education space that should eliminate the need for the use of trailers at the school. These improvements will provide enhancements and efficiencies to the existing space. Project Cost Estimate Site work $2,419,000 Building envelope 3,091,000 Finishes 1,613,000 Mechanical 4,032,000 Electrical 2,285,000 Owner cost* 3,360,000 Total $16,800,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,000,000 13,800, ,800,000 Other Cash Proffers ,000,000 1,000, ,000,000 Total $0 $0 $0 $0 $0 $2,000,000 $14,800,000 $0 $0 $16,800,000 Page 159

167 FINANCIAL SECTION Reams Elementary School Built in 1968 Start date: FY2020 Completion date: FY2023 Cost: $19.5 million Project Description Design for the renovation of the current school is planned to begin in FY2017 with construction to follow in FY2020. This revitalization project will include renovations to the building envelope, mechanical and electrical systems, furniture and fixtures and site improvements. These improvements will provide enhancements and efficiencies to the existing space. Project Cost Estimate Site work $2,808,000 Building envelope 3,588,000 Finishes 1,872,000 Mechanical 4,680,000 Electrical 2,652,000 Owner cost* 3,900,000 Total $19,500,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,500, ,500,000 Other Cash Proffers ,000,000 1,000, ,000,000 Total $0 $0 $0 $1,000,000 $1,000,000 $0 $17,500,000 $0 $0 $19,500,000 Page 160

168 FINANCIAL SECTION Crestwood Elementary School Built in 1962 Start date: FY2021 Completion date: FY2023 Cost: $15.8 million Project Description Preliminary planning and design funds for the renovation of the current school are planned for FY2016 and FY2017 with construction to follow in FY2021. This revitalization project will include renovations to the building envelope, mechanical and electrical systems, furniture and fixtures, site improvements, and additional education space that should eliminate the need for the use of trailers at the school. These improvements will provide enhancements and efficiencies to the existing space. Project Cost Estimate Site work $2,275,000 Building envelope 2,907,000 Finishes 1,517,000 Mechanical 3,792,000 Electrical 2,149,000 Owner cost* 3,160,000 Total $15,800,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,800, ,800,000 Other Cash Proffers 0 0 1,000,000 1,000, ,000,000 Total $0 $0 $1,000,000 $1,000,000 $0 $0 $0 $13,800,000 $0 $15,800,000 Page 161

169 FINANCIAL SECTION New Elementary School Relieve overcrowding at Watkins and Weaver Start date: FY2021 Completion date: FY2023 Cost: $30.6 million Project Description The Plan calls for construction of a new elementary school. This school is planned to be located in the northwestern area of the County and will provide relief to Watkins Elementary and Bettie Weaver Elementary schools. Design funds for the new school are planned for FY2018-FY2020 with construction to follow in FY2021. Project Cost Estimate Site work $3,427,000 Building envelope 9,058,000 Finishes 2,448,000 Mechanical 5,875,000 Electrical 3,672,000 Owner cost* 6,120,000 Total $30,600,000 * A&E, permits, fees, administration, etc. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,600,000 27,600,000 Other Cash Proffers ,000,000 1,000,000 1,000, ,000,000 Total $0 $0 $0 $0 $1,000,000 $1,000,000 $1,000,000 $0 $27,600,000 $30,600,000 Page 162

170 FINANCIAL SECTION Ettrick Elementary School Built in 1967 Start date: FY2022 Completion date: FY2024 Cost: $16.9 million Project Description The Plan calls for revitalization of the existing building, including additional education space to eliminate the need to use trailers at the school. However, it is likely, given the updated plan for the expansion of Virginia State University and its impact on the Ettrick area, that Ettrick Elementary may need to be relocated. The VSU expansion plans may have the impact of continuing to reduce the elementary school population near the current school location. At the same time, the current school property may have alternative uses given the new VSU plan. With residential growth planned for areas adjacent to Ettrick, in part due to anticipated VSU staff growth, there may be a better location for the school in the long term. This project is slated to begin in FY2019 with actual renovation funding slated for FY2022. Project Cost Estimate Site work $2,434,000 Building envelope 3,110,000 Finishes 1,622,000 Mechanical 4,056,000 Electrical 2,298,000 Owner cost* 3,380,000 Total $16,900,000 Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt ,900,000 14,900,000 Other Cash Proffers ,000,000 1,000, ,000,000 Total $0 $0 $0 $0 $0 $1,000,000 $1, $0 $14,900,000 $16,900,000 Page 163

171 FINANCIAL SECTION School Nutrition Services Start date: FY2015 Completion date: FY2015 Cost: $2.1 million Project Description Funding from the federal food services fund reserves is committed in FY2015 and in prior years to install new or enlarge existing walk-in freezer/refrigerators at these elementary schools: Bensley, Chalkley, Ecoff, and Greenfield. Other renovations will include new or expanded serving line modifications at Bellwood Elementary, Carver Middle, Falling Creek Middle, and Salem Middle. Aging freezers and refrigerators will be replaced with more energy efficient equipment and damaged floors repaired. The modifications to serving lines, including the addition of a second line and changes to the existing configuration will accelerate the distribution of food to students. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt Other 1,223, , ,124,200 Cash Proffers Total $0 $901,000 $0 $0 $0 $0 $0 $0 $0 $2,124,200 Page 164

172 FINANCIAL SECTION Major Maintenance/ Security Start date: FY2015 ongoing Cost: $52.4 million Project Description The school division has 64 school buildings and 11 additional buildings totaling more than 8 million square feet under roof. Anticipated major maintenance needs include roof replacements, floor coverings, mechanical system replacements and upgrades, essential school furniture and equipment, minor building renovations and grounds improvements. Critical heating, ventilation, and air conditioning systems have been identified for replacement in this project. Many of the planned improvements will result in significant energy efficiencies. Security improvements to help insure the safety of students and staff at various school facilities are also included in this project. Funding to complete these improvements is projected to come primarily from debt, with a small amount from the Reserve for CIP. The remaining funding projected for this project (other category) represents pay-asyou-go funding from the Chesterfield County s CIP, formerly planned for the Robious library and the Route 288 fire station. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $250,000 $250,000 $351,600 $351,600 $351,600 $351,600 $351,600 $351,600 $351,600 $2,961,200 Debt 5,000,000 3,400,000 16,400,000 3,300,000 3,300,000 3,300,000 3,300,000 3,300,000 3,300,000 44,600,000 Other 0 0 3,650,000 1,200, ,850,000 Cash Proffers Total $5,250,000 $3,650,000 $16,751,600 $3,651,600 $7,301,600 $4,851,600 $3,651,600 $3,651,600 $3,651,600 $52,411,200 Page 165

173 FINANCIAL SECTION Technology Blended Learning Program ( grades 6-12) Start date: FY2015 ongoing Cost: $46.3 million Project Description defines blended learning as the combination of traditional face-to-face instruction with technology to enable anytime, anywhere learning. Blended learning began in CCPS in FY2013 with targeted professional development for all instructional staff as well as selection of digital content. Blended learning will continue into FY2015 with the purchase of laptops for every middle school student, followed by the implementation at the high school level in FY2016. The funding in this project will be used to purchase the devices and replace them on a regular schedule. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $0 $2,290,000 $4,962,400 $4,962,400 $4,962,400 $4,962,400 $4,962,400 $4,962,400 $4,962,400 $37,026,800 Debt Other 0 380,000 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 1,267,600 9,253,200 Cash Proffers Total $0 $2,610,000 $6,230,000 $5,758,500 $5,758,500 $5,758,500 $5,758,500 $5,758,500 $5,758,500 $46,280,000 Page 166

174 FINANCIAL SECTION Technology Plan / Replacements Start date: Summer 2015 Ongoing Cost: $23.1 million Project Description The current capital improvement plan provides funding for the implementation and maintenance of Chesterfield County Public Schools Technology Master Plan. The plan incorporates the further integration and replacement of technology in the classroom, professional development of teachers, the connectivity of infrastructure, hardware and software, and the evaluation of the technology system. The Technology Master Plan is revised periodically and approved by the School Board. There are two components included in this project. They are 1) computer replacement, supporting the replacement of critical aging computer equipment throughout the school division after an average useful life of four years and 2) state technology grant funding which permits the update of needed IT infrastructure to accommodate on-line SOL testing. Financing Summary Financing Prior Years FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 Total Reserve for CIP $1,940,000 $810,000 $340,000 $340,000 $340,000 $340,000 $340,000 $340,000 $340,000 $5,130,000 Debt Other 3,600,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 18,000,000 Cash Proffers Total $5,540,000 $2,610,000 $2,140,000 $2,140,000 $2,140,000 $2,140,000 $2,140,000 $2,140,000 $2,140,000 $23,130,000 Page 167

175 FINANCIAL SECTION DEBT OBLIGATIONS The Constitution of Virginia and the Virginia Public Finance Act provide Virginia counties the authority to issue general obligation debt secured solely by the pledge of its full faith and credit, as well as debt secured first by the fee revenues generated by the system for which the bonds are issued and, if necessary, by general obligation tax revenues. Virginia counties are also authorized to issue debt secured solely by the revenues of the system for which the bonds were issued. There is no limitation imposed by state law or local ordinance on the amount of general obligation debt a county may issue; however, with certain exceptions, debt which is either directly or indirectly secured by the general obligation of a county, must be approved by public referendum prior to issuance. Debt secured sole by revenues generated by the system for which the bonds were issued may be issued in any amount without a public referendum. Chesterfield County s commitment to established management policies has enabled the County to achieve the highest bond rate ratings attainable from all three rating agencies (Fitch, Standard & Poor s, and Moody s) for the County s general obligation bonds. Chesterfield County is one of fewer than 40 counties nationwide to hold the distinct honor of having a AAA bond rating from all three agencies. Chesterfield County s Board of Supervisors has established policy guidelines as a critical component in making financial decisions regarding debt issuance. Adherence to these guidelines allows the County to plan for the necessary financing of capital projects while maintaining creditworthiness. Chesterfield County policy establishes target and ceiling numbers for certain ratios as a way of bracketing acceptable ranges that maintain the County s financial position. Actual results for the County s debt policies are reflected in the table below. Actual June 30, 2013 Planning Cap Ceiling Debt as a % of Assessed Value 1.5% 3.0% 3.5% Debt per Capita $1,607 $1,767 $1987 Debt as a % of General Governmental Expenditures 6.9% 10.0% 11.0% Debt service provides the means to revitalize or replace existing facilities within the school division as well as provide resources to build new schools as enrollment growth warrants. Debt limits are set by the County s Board of Supervisors in an adopted policy and are not to exceed a threshold of 10% of the county and school division s combined budgets. Debt service is a long term commitment for the operating fund as the funds borrowed must be repaid over a term of typically 30 years with associated interest. While the chart below shows that CCPS level of debt payments will decline somewhat from FY2014 to FY2015, in the longer term, the 9-year capital improvement plan includes a revitalization plan for a number of schools as well as major maintenance and the technology plan. Debt service is expected to increase substantially as these projects get underway. The total debt obligation for FY2015 is $42,860,100. Debt levels are expected to increase by about 13% over the plan period from FY15 to FY18 and begin to level off or drop somewhat for the final year of the plan. Projected debt obligations will be adjusted as necessary during the budget process in each year of the plan. Page 168

176 FINANCIAL SECTION DEBT OBLIGATION FINANCIAL DETAIL Summary of Outstanding Balances for Long-Term Debt Obligations as of 07/01/2014 Bond Issues Principal Interest Total VPSA 1995A 1,510,000 90,223 1,600,223 VPSA 1995C 2,610, ,110 2,743,110 VPSA 2002B 10,496,880 2,324,475 12,821,355 GO 2004A 15,414,447 1,852,153 17,266,600 GO 2005A 12,841,547 1,339,666 14,181, L/P Financial System 344,000 18, ,814 GO 2006A 20,154,433 5,507,829 25,662, L/P Financial System 284,000 12, ,070 GO 2007A 34,774,311 11,117,748 45,892,059 GO 2007B 17,082,425 4,281,062 21,363,486 GO 2008A 41,130,634 15,027,371 56,158,005 GO 2009A 43,509,312 15,276,221 58,785,533 GO 2009B 1,104,428 65,534 1,169,962 VPSA ,065,000 5,588,224 19,653,224 VPSA 2012B 17,665,000 7,559,249 25,224,249 GO 2012B 42,782,142 12,964,187 55,746,329 VPSA 2013A 18,305,000 7,704,377 26,009,377 GO ,500,000 2,668,390 10,168,390 Totals 301,573,558 93,530, ,104,260 Summary of FY2015 Debt Service Payments Bond Issues Principal Interest Other Total VPSA 1995A 755,000 67, ,667 VPSA 1995C 1,305,000 99,833-1,404,833 VPSA 2002B 1,166, ,937-1,660,257 GO 2004A 3,811, ,524-4,513,951 GO 2005A 4,063, ,543-4,682, L/P Financial System 172,000 12, ,542 GO 2006A 2,519, ,204-3,410, L/P Financial System 142,000 9, ,053 GO 2007A 2,674,947 1,594,937-4,269,884 GO 2007B - 843, ,247 GO 2008A 2,937,902 1,961,050-4,898,952 GO 2009A 2,805,660 1,887,802-4,693,462 GO 2009B 379,756 33, ,889 VPSA , ,011-1,414,011 VPSA 2012B 930, ,575-1,719,575 GO 2012B refunding 2,846,770 2,051,778-4,898,548 VPSA 2013A 920, ,873-1,683,873 GO , , ,200 GO Admin Fees ,000 10,000 GO Issuance Costs , ,537 VPSA Admin Fees ,000 10,000 Totals 28,477,656 14,162, ,537 42,860,100 Page 169

177 FINANCIAL SECTION Debt Service FY FY2015 Comparison of Budgeted Payments FY14 FY14 FY15 FY15 Increase/ Adopted Adopted Adopted Adopted (Decrease) Bond Issues Principal/Interest Other Debt Principal/Interest Other Debt Total VPSA 1994A 433, (433,230) VPSA 1995A 867, ,667 - (44,828) VPSA 1995C 1,471,388-1,404,833 - (66,555) VPSA 2002B 1,719,739-1,660,257 - (59,482) VPSA ,982, (2,982,000) GO 2004A 7,482,200-4,513,951 - (2,968,249) GO 2005A 2,339,143-4,682,316-2,343, L/P Financial System 190, ,542 - (6,272) GO 2006A 3,536,474-3,410,508 - (125,966) 2006 L/P Financial System 157, ,053 - (6,035) GO 2007A 4,376,882-4,269,884 - (106,998) GO 2007B 843, , GO 2008A 5,001,779-4,898,952 - (102,827) GO 2009A 4,833,745-4,693,462 - (140,283) GO 2009B 435, ,889 - (22,158) VPSA ,441,879-1,414,011 - (27,868) VPSA 2012B 1,745,615-1,719,577 - (26,038) GO 2012B 2,823,948-4,898,548-2,074,600 VPSA 2013A 627,810-1,683,873-1,056,063 GO , ,200 Other Debt Expenditure: GO Bond Fees / Issuance Costs 10, , ,332 VPSA Bond Fees / Issuance Costs 40,478 10,000 (30,478) Totals 43,309,522 50,478 42,640, ,332 (499,900) 43,360,000 42,860,100 Summary of Changes: Principal Payments decreased from FY14 to FY15 by $179,306; Interest Payments decreased from FY14 to FY15 by $489,448; Other Debt Service increased from FY14 to FY15 by $168,854; for a combined total decrease of $499,900. Bond Amortization Schedule Virginia Public School Authority Bonds 1995A Original Bond Amount $9,840,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 760, ,734 1,299,734 9,080, % 760, ,694 1,258,694 8,320, % 760, ,654 1,217,654 7,560, % 760, ,234 1,176,234 6,800, % 760, ,054 1,134,054 6,040, % 755, ,634 1,086,634 5,285, % 755, ,882 1,043,882 4,530, % 755, ,375 1,000,375 3,775, % 755, , ,396 3,020, % 755, , ,040 2,265, % 755, , ,495 1,510, % 755,000 67, , , % 755,000 22, ,556 - Totals 9,840,000 3,713,413 13,553,413 Page 170

178 FINANCIAL SECTION Virginia Public School Authority Bonds 1995C Original Bond Amount $17,005,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 1,310, ,600 2,176,600 15,695, % 1,310, ,690 2,096,690 14,385, % 1,310, ,780 2,016,780 13,075, % 1,310, ,420 1,943,420 11,765, % 1,310, ,610 1,876,610 10,455, % 1,310, ,800 1,809,800 9,145, % 1,310, ,990 1,742,990 7,835, % 1,310, ,180 1,676,180 6,525, % 1,305, ,498 1,604,498 5,220, % 1,305, ,943 1,537,943 3,915, % 1,305, ,388 1,471,388 2,610, % 1,305,000 99,833 1,404,833 1,305, % 1,305,000 33,278 1,338,278 - Totals 17,005,000 5,691,008 22,696,008 Virginia Public School Authority Bonds 2002B Original Bond Amount $23,375,200 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 1,171, ,229, ,400, ,204, % 1,171, , ,165, ,032, % 1,171, , ,117, ,861, % 1,171, , ,069, ,690, % 1,171, , ,021, ,519, % 1,171, , ,973, ,348, % 1,171, , ,925, ,176, % 1,171, , ,877, ,005, % 1,171, , ,829, ,834, % 1,171, , ,779, ,663, % 1,166, , ,719, ,496, % 1,166, , ,660, ,330, % 1,166, , ,600, ,164, % 1,166, , ,541, ,997, % 1,166, , ,481, ,831, % 1,166, , ,422, ,665, % 1,166, , ,362, ,498, % 1,166, , ,306, ,332, % 1,166, , ,251, ,166, % 1,166, , ,194, Totals 23,375, ,325, ,700, Page 171

179 FINANCIAL SECTION Refunded General Obligation Bonds 2004 Original Bond Amount $46,837,124 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 403, ,921, ,324, ,433, % 1,056, ,181, ,237, ,377, % 377, ,228, ,605, ,000, % 537, ,175, ,712, ,463, % 3,137, ,197, ,335, ,325, % 2,578, ,048, ,626, ,747, % 4,036, ,884, ,920, ,711, % 6,430, ,686, ,117, ,280, % 6,426, ,363, ,789, ,854, % 6,439, ,042, ,482, ,414, % 3,811, , ,513, ,603, % 3,807, , ,317, ,795, % 3,796, , ,117, ,999, % 1,364, , ,525, ,635, % 1,330, , ,435, ,305, % 1,305, , ,357, ,837, ,580, ,418, GO Bonds 2005B - After 2012 Refunding Original Bond Amount $14,708,043 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % - 575, , ,708, % - 691, , ,708, % - 691, , ,708, % - 691, , ,708, % - 691, , ,708, % - 691, , ,708, % 1,039, , ,730, ,668, % 1,031, , ,681, ,637, % 1,024, , ,632, ,612, % 3,449, , ,006, ,163, % 3,460, , ,845, ,703, % 2,349, , ,561, ,353, % 2,353, , ,447, Totals 14,708, ,228, ,936, GO Bonds 2005A - After 2012 Refunding Original Bond Amount $14,708,043 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 614, , , ,457, % 614, , , ,843, % 614, , , ,228, % 614, , , , Totals 2,457, , ,758, Page 172

180 FINANCIAL SECTION 2005 Financial System Lease/Purchase Original Loan Amount $1,720,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % - 62, , ,720, % 172, , , ,548, % 172, , , ,376, % 172, , , ,204, % 172, , , ,032, % 172, , , , % 172, , , , % 172, , , , % 172, , , , % 172, , , , % 172, , , Totals 1,720, , ,125, Refunded General Obligation Bonds 2006 Original Bond Amount $25,193,041 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 2,519, ,143, ,662, ,673, % 2,519, ,017, ,536, ,154, % 2,519, , ,410, ,635, % 2,519, , ,284, ,115, % 2,519, , ,158, ,596, % 2,519, , ,045, ,077, % - 412, , ,077, % - 412, , ,077, % - 412, , ,077, % - 412, , ,077, % 2,519, , ,931, ,557, % 2,519, , ,831, ,038, % 2,519, , ,727, ,519, % 2,519, , ,623, Totals 25,193, ,668, ,861, Page 173

181 FINANCIAL SECTION 2006 Financial System Lease/Purchase Original Loan Amount $1,426,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 144, , , ,282, % 144, , , ,138, % 144, , , , % 142, , , , % 142, , , , % 142, , , , % 142, , , , % 142, , , , % 142, , , , % 142, , , Totals 1,426, , ,726, General Obligation Bonds 2007A Original Bond Amount $53,509,993 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 2,686, ,739, ,425, ,823, % 2,674, ,273, ,948, ,149, % 2,674, ,139, ,814, ,474, % 2,674, ,029, ,704, ,799, % 2,674, ,919, ,594, ,124, % 2,674, ,808, ,483, ,449, % 2,674, ,701, ,376, ,774, % 2,674, ,594, ,269, ,099, % 2,674, ,487, ,162, ,424, % 2,674, ,380, ,055, ,749, % 2,674, ,247, ,922, ,074, % 2,674, ,113, ,788, ,399, % 2,674, , ,654, ,724, % 2,674, , ,520, ,049, % 2,674, , ,387, ,374, % 2,674, , ,266, ,699, % 2,674, , ,146, ,024, % 2,674, , ,026, ,349, % 2,674, , ,905, ,674, % 2,674, , ,785, Totals 53,509, ,730, ,240, Page 174

182 FINANCIAL SECTION General Obligation Bonds 2007B Original Bond Amount $17,195,360 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 112, , , ,082, % - 843, , ,082, % - 843, , ,082, % - 843, , ,082, % - 843, , ,082, % - 843, , ,082, % - 843, , ,082, % - 843, , ,082, % 728, , ,571, ,353, % 1,803, , ,617, ,550, % 4,003, , ,727, ,546, % 4,007, , ,531, ,539, % 2,925, , ,248, ,613, % 2,896, , ,073, , % 717, , , Totals 17,195, ,953, ,148, General Obligation Bonds 2008 Original Bond Amount $57,911,932 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 2,083, ,843, ,927, ,827, % 2,941, ,519, ,461, ,886, % 2,937, ,401, ,339, ,948, % 2,941, ,284, ,226, ,006, % 2,937, ,181, ,119, ,068, % 2,937, ,063, ,001, ,130, % 2,937, ,961, ,898, ,192, % 2,937, ,858, ,796, ,254, % 2,937, ,711, ,649, ,316, % 2,937, ,564, ,502, ,379, % 2,937, ,417, ,355, ,441, % 2,937, ,270, ,208, ,503, % 2,937, ,153, ,091, ,565, % 2,937, ,006, ,944, ,627, % 2,937, , ,819, ,689, % 2,937, , ,672, ,751, % 2,937, , ,525, ,813, % 2,937, , ,378, ,875, % 2,937, , ,231, ,937, % 2,937, , ,084, Totals 57,911, ,322, ,234, Page 175

183 FINANCIAL SECTION General Obligation Bonds 2009A Original Bond Amount $55,426,500 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 686, ,231, ,917, ,739, % 2,805, ,421, ,226, ,934, % 2,809, ,309, ,118, ,124, % 2,809, ,168, ,978, ,314, % 2,805, ,028, ,833, ,509, % 2,805, ,887, ,693, ,703, % 2,805, ,775, ,581, ,897, % 2,805, ,635, ,440, ,092, % 2,805, ,495, ,300, ,286, % 2,805, ,354, ,160, ,481, % 2,805, ,214, ,020, ,675, % 2,805, ,102, ,907, ,869, % 2,805, , ,795, ,064, % 2,805, , ,683, ,258, % 2,805, , ,571, ,452, % 2,805, , ,458, ,647, % 2,805, , ,346, ,841, % 2,801, , ,227, ,039, % 2,801, , ,108, ,237, % 2,801, , ,988, ,436, % 1,436, , ,500, Totals 55,426, ,434, ,860, General Obligation Bonds 2009B Original Bond Amount $14,894,100 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 4,320, , ,595, ,573, % 4,051, , ,510, ,522, % 3,003, , ,299, ,518, % 2,024, , ,170, ,494, % 390, , , ,104, % 379, , , , % 369, , , , % 355, , , Totals 14,894, ,286, ,180, Page 176

184 FINANCIAL SECTION Virginia Public School Authority Bonds 2011 Original Bond Amount $15,630,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % - 475, , ,630, % 780, , ,456, ,850, % 785, , ,441, ,065, % 785, , ,414, ,280, % 785, , ,378, ,495, % 785, , ,338, ,710, % 785, , ,299, ,925, % 785, , ,259, ,140, % 780, , ,214, ,360, % 780, , ,175, ,580, % 780, , ,136, ,800, % 780, , ,096, ,020, % 780, , ,057, ,240, % 780, , ,021, ,460, % 780, , , ,680, % 780, , , ,900, % 780, , , ,120, % 780, , , ,340, % 780, , , ,560, % 780, , , , % 780, , , Totals 15,630, ,397, ,027, Virginia Public School Authority Bonds 2012B Original Bond Amount $18,595,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal , , ,595, % 930, , ,745, ,665, % 930, , ,719, ,735, % 930, , ,686, ,805, % 930, , ,644, ,875, % 930, , ,597, ,945, % 930, , ,550, ,015, % 930, , ,503, ,085, % 930, , ,456, ,155, % 930, , ,409, ,225, % 930, , ,362, ,295, % 930, , ,315, ,365, % 930, , ,268, ,435, % 930, , ,221, ,505, % 930, , ,183, ,575, % 930, , ,150, ,645, % 930, , ,108, ,715, % 930, , ,070, ,785, % 930, , ,035, ,855, % 930, , , , % 925, , , Totals 18,595, ,938, ,533, Page 177

185 FINANCIAL SECTION GO Bonds 2012B Refunding Original Bond Amount $43,897,560 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 380, ,639, ,019, ,517, % 735, ,088, ,823, ,782, % 2,846, ,051, ,898, ,935, % 500, ,909, ,409, ,435, % 2,912, ,884, ,797, ,522, % 3,267, ,738, ,006, ,255, % 5,655, ,575, ,230, ,599, % 5,689, ,292, ,982, ,909, % 5,729, ,008, ,737, ,180, % 5,764, , ,486, ,415, % 3,449, , ,882, ,966, % 3,473, , ,734, ,493, % 3,493, , ,580, Totals 43,897, ,691, ,589, Virginia Public School Authority Bonds 2013A Original Bond Amount $18,305,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal , , ,305, % 920, , ,683, ,385, % 915, , ,650, ,470, % 915, , ,618, ,555, % 915, , ,581, ,640, % 915, , ,544, ,725, % 915, , ,502, ,810, % 915, , ,456, ,895, % 915, , ,410, ,980, % 915, , ,364, ,065, % 915, , ,317, ,150, % 915, , ,271, ,235, % 915, , ,225, ,320, % 915, , ,179, ,405, % 915, , ,132, ,490, % 915, , ,091, ,575, % 915, , ,058, ,660, % 915, , ,028, ,745, % 915, , , ,830, % 915, , , , % 915, , , Totals 18,305, ,235, ,540, Page 178

186 FINANCIAL SECTION General Obligation Bonds 2014 Projected Original Bond Amount $7,500,000 Payment Fiscal Interest Principal Interest Total Outstanding Year Rate Payment Payment Payment Principal % 263, , , ,237, % 380, , , ,856, % 380, , , ,475, % 380, , , ,094, % 380, , , ,713, % 380, , , ,332, % 380, , , ,951, % 380, , , ,570, % 380, , , ,189, % 380, , , ,808, % 380, , , ,428, % 380, , , ,047, % 380, , , ,666, % 380, , , ,285, % 380, , , ,904, % 380, , , ,523, % 380, , , ,142, % 380, , , , % 380, , , , % 380, , , Totals 7,500, ,668, ,168, Page 179

187 FINANCIAL SECTION PROJECTS FUNDED BY OUTSTANDING BOND ISSUES NEW SCHOOLS Matoaca High Cosby High Clover Hill High Scott Elementary Tomahawk Creek Middle Winterpock Elementary Davis Middle FACILITY RENOVATIONS Chester Middle Chalkley Elementary Greenfield Elementary Hening Elementary Manchester High Meadowbrook High Courthouse Bird High Monacan High Midlothian Middle Swift Creek Middle Midlothian High Bon Air Elementary Ecoff Elementary Falling Creek Elementary Bellwood Elementary Watkins Elementary CTC@Hull Gates Elementary Robious Middle Salem Middle Beulah Elementary Providence Middle Manchester Middle Bailey Bridge Middle Falling Creek Middle OTHER PROJECTS Major Maintenance at various school locations including paving, HVAC, roof repair, plumbing, flooring, wastewater, flooring, lighting, lockers, bleachers, painting, abatement, communications, athletic tracks, ADA compliance Midlothian High School Field House Energy Improvements Technology projects Monacan High School Specialty Center Page 180

188 FINANCIAL SECTION POST-EMPLOYMENT BENEFIT OBLIGATIONS DISCLOSURES Supplemental Retirement Program The School Board contributes to the Supplemental Retirement Program (Program), a single- employer, defined benefit pension plan established in 1996 and administered by the School Board to provide pension benefits for certain qualified School Board employees in addition to any benefits which may be received under the VRS or Social Security. Summary of Significant Accounting Policies Basis of Accounting: The Program's financial statements are prepared using the accrual basis of accounting. Employer contributions are recognized when due and the employer has made a formal commitment to provide the contribution. Benefits and refunds are recognized when due and payable in accordance with the terms of the Program. Valuation of Investments: Investments are reported at fair value. Short-term investments are reported at cost, which approximates fair value. Securities traded on a national or international exchange are valued at the last reported sales prices at current exchange rates. Investments that do not have an established market are reported at estimated fair value. Program Descriptions and Contribution Information Program Description: The School Board's Program is provided for full-time employees covered by VRS with at least ten years employment by, including the five years immediately preceding retirement. Employees must have at least twenty years in VRS and/or education, be at least age of 50, and not be retired on disability. Upon becoming eligible for benefits from the Program, the employee shall select a part-time option to provide supplemental service to the School Board in the same or equivalent position as when the employee was permanently employed. The employee shall receive a monthly retirement benefit, beginning as of the date the employee commenced part-time employment under the provisions of the Program, equal to one twelfth (1/12) of one percent (1%) of the employee's final annual compensation; multiplied times the number of obligated days; divided by the duration of the payout period. The number of obligated days and amount of the monthly retirement benefit shall be determined and paid based on one of the part-time employment options selected by the employee and on the employee's employment classification. The minimum monthly benefit payable is $50. Benefits under the Program cease upon completion of the elected payout installment period. In the event of the death or total disability of the employee during the first year of receipt of benefits, the employee will only receive payment for the time actually worked. The School Board s program was closed to employees hired or re-hired after June 30, An employee is vested under the Program when he reaches his normal retirement age defined as the time when services have been rendered in the part-time position classification selected by the employee. During the period the employee is providing services to the School Board in the part-time position, the employee's benefit is paid from the general assets of the School Board. If the employee does not complete the service required, the employee's benefits are forfeited. Benefit payments made after the first year or half year shall be made from the Program s assets. Membership of the Program consisted of the following at July 1, 2012: Active participants 6,751 Retirees (vested) 774 Retirees (non-vested) 106 Total 7,631 Funding Policy: The School Board contributes the normal cost plus amortizes the unfunded actuarial accrued liability over a 20 year open rolling period for actives and three year layered closed amortization period for inactives. Actual contributions are based upon savings derived from employees electing to retire under the Program along with a supplement from the School Operating Fund. For a particular Program year, the actual contribution may not equal the recommended level of contribution; however, it is expected that the contribution will be sufficient to meet the funding requirements over the longer term. The Program is funded from available budget allocations and interest earned from the Program. Page 181

189 FINANCIAL SECTION Annual Pension Cost and Net Pension Obligation (Asset): For fiscal year 2013, the School Board made a contribution of $7,961,072 to the Program. Net Pension Obligation (NPO) (Asset) Annual Required Contribution (ARC) $ 14,337,521 Interest on NPO (1,265,504) Adjustment to the ARC 2,787,293 Annual Pension Cost 15,859,310 Contributions made (7,961,072) Decrease in NPO (asset) 7,898,238 NPO (asset) beginning of year (16,873,387) NPO (asset) end of year $ (8,975,149) Three-year Trend Information: Fiscal Year Ended Annual Pension Cost Percent Contributed Net Pension Obligation (Asset) 6/30/2013 $15,859, % $ ( 8,975,149) 6/30/ ,810, (16,873,387) 6/30/2011 8,335, (23,420,189) Related Party Investments The Program s assets do not include any securities issued by the County. Actuarial Method and Significant Assumptions The information presented was determined as part of the actuarial valuations at the dates indicated. Additional information as of the latest actuarial valuation follows: Valuation Date...July 1, 2012 Actuarial cost method...entry age normal Amortization method...level dollar Amortization period - active...20 years rolling open Amortization period - retirees...3 years layered closed Asset valuation method...market value Actuarial assumptions: Investment rate of return...7.5% Wage inflation...4.5% Funded Status and Funding Progress As of June 30, 2013, the plan was 22.99% funded. The actuarial accrued liability for benefits was $91,811,165 and the actuarial value of assets was $21,108,004 leaving $70,703,161 unfunded. Covered payroll was $277,305,525. The ratio of unfunded actuarial liability to annual covered payroll was 25.50%. The schedule of funding progress, presented as required supplementary information following the notes to the financial statements, presents trend information that shows whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Page 182

190 FINANCIAL SECTION Postemployment Retiree Healthcare Benefits Plan Description The Other Postemployment Benefit (OPEB) Trust is a single employer defined benefit plan that provides health and dental insurance during retirement for certain qualified retirees and their dependents. Benefit provisions are established by the County Board and may be amended at any time. The Board of Trustees, appointed by the County Board, administers the plan. The OPEB Trust is considered part of the County of Chesterfield s reporting entity and is included in the County s financial statements as an OPEB Trust Fund. No separately audited financial statements are available. The County joined other Virginia localities by opting to participate in the Virginia Municipal League/Virginia Association of Counties (VML/VACO) Trust Fund for the purpose of investing OPEB contributions. VML/VACO issues audited financial statements which can be obtained by contacting the VML/VACO Finance Program, 919 E. Main Street Suite 1100, Richmond, Virginia Employees with a combination of age and fulltime service greater than or equal to 60 years as of July 1, 2007, including at least 10 years of service, will be grandfathered. Non-grandfathered employees will receive health benefits at age 55 or older with at least 15 years of service. Employees retiring before age 55 will be allowed to purchase retiree healthcare at the School Board s group rate with no School Board contribution from the time of retirement until age 55. At age 55, they will begin to receive the School Board contribution based on years of service. School Board contributions for pre-65 health and dental benefits at July 1, 2012, are: Years of Service Grandfathered Non-grandfathered 0 to to %* - 15 to %* $174 per month 20 to %* $262 per month %* $348 per month *as a percentage of the School Board s contribution, not the total premium Non-grandfathered School Board contributions will be increased by 3% per year based on inflation but will never exceed the contribution for an active employee. All retired employees and active employees who are age 65 and over and with 30 or more years of service (all as of January 1, 2009), will receive a School Board contribution toward their post- Medicare coverage no greater than $190 per month indexed at 3% per year plus $40 reimbursement for prescription coverage. For all other employees, the School Board limits its contribution toward post-medicare coverage based on years of service. The School Board will contribute $4 per month for each year of service plus a static $40 per month for a Medicare Part D plan cost reimbursement. Employees hired after July 1, 2006, who retire at age 55 or older, with 15 or more years of full- time service, will be permitted to purchase retiree health benefits for themselves and their dependents at the School Board s group rate, but will receive no School Board contribution toward the cost. Funding Policy As of June 30, 2013, the School Board has $6,877,165 in plan assets accumulated for payment of future benefits. The School Board made contributions and paid premiums to the trust in amounts approximately equal to the annual required contribution(arc) for the fiscal year ended June 30, 2013, and intends to fund at least the ARC amount in future fiscal years. The School Board determines the actual contributions to the plan on an annual basis. Employees contributions vary according to individual elections of coverage and the level of County contribution which is based on eligibility requirements. Annual OPEB cost and Net OPEB Obligation The School Board s annual OPEB cost (expense) is calculated based on the ARC, an amount actuarially determined in accordance GAAP. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities over a period not to exceed thirty years. The following table shows the components of the School Board s annual OPEB cost for the year, the amount contributed to the plan, and changes in the School Board s net OPEB asset. Page 183

191 FINANCIAL SECTION Net Other Postemployment Benefits Obligation (NOPEBO) (ASSET) Annual required contribution (ARC) $ 18,719,966 Interest on NOPEBO (7,905) Adjustment to the ARC 7,302 Annual OPEB Cost 18,719,363 Contributions made (18,719,363) Increase in NOPEBO (asset) NOPEBO (asset) beginning of year - (112,925) NOPEBO (asset) end of year $ (112,925) Three-year Trend Information Fiscal Year Ended Annual Pension Cost Percent Contributed Net Pension Obligation (Asset) 6/30/2013 $18,719, % $ ( 112,925) 6/30/ (112,925) 6/30/ (176161) Funded Status and Funding Progress As of June 30, 2013, the plan was 3.14% funded. The actuarial accrued liability for benefits was $218,951,407 and the actuarial value of assets was $6,877,165 leaving $212,074,242 unfunded. The ratio of the unfunded actuarial liability to annual covered payroll of $289,001,415 was 73.38%. The schedule of funding progress, presented as required supplementary information following the notes to the financial statements, presents trend information since inception that shows whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Actuarial Methods and Assumptions Projections of benefits for financial reporting purposes are based on the substantive plan (the plan understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and the plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future and are subject to continued revision as actual results are compared to past expectations and new estimates are made about the future. The actuarial assumptions at June 30, 2013, included (a) 7.0% discount rate (b) medical benefit cost trend increases of 8.0% in plan year 2013 reduced by decrements to a rate of 5.0% after 5 years (c) dental cost trend of 5.0% annually (d) payroll growth rate of 2.5% and (e) inflation rate of return of 2.5%. Plan liabilities were determined using the projected unit of credit actuarial cost method. The plans unfunded actuarial accrued liability is being amortized as a level percentage of projected payroll on an open basis for a period of 26 years. Source: The Chesterfield Count Comprehensive Annual Financial Report for the year ended June 30, 2013 Page 184

192 Informational Section

193 INFORMATIONAL SECTION INFORMATIONAL SECTION The information section is intended to provide the reader with supporting information to give a broader picture of Chesterfield County Public Schools. Page 185

194 INFORMATIONAL SECTION TAX BASE AND RATE TRENDS Assessed and Estimated Market Values of Taxable Property (1) Last Ten Fiscal Years (unaudited) Assessed Values Real Estate (2) Fiscal Residential Commercial/ Personal Machinery Public service Year industrial property and tools Total 2004 $ 15,193,604,463 $ 3,986,717,185 $ 2,807,314,224 $ 420,079,114 $ 1,087,202,383 $ 23,494,917, ,889,432,228 4,503,087,387 3,137,616, ,752,040 1,060,282,022 25,995,169, ,509,239,881 4,965,460,886 3,834,060, ,959, ,692,155 29,744,412, ,439,147,536 5,458,439,780 3,330,659, ,314, ,030,901 33,697,592, ,476,217,323 6,286,058,061 3,436,200, ,488,170 1,114,518,126 37,748,482, ,444,495,499 6,538,019,297 3,072,809, ,809,420 1,198,254,238 37,692,387, ,404,972,139 6,199,204,274 3,047,498, ,428,490 1,294,938,309 36,382,042, ,371,644,507 6,209,724,943 3,167,813, ,491,890 1,323,381,861 35,509,056, ,297,692,124 6,377,907,210 3,291,845, ,584,010 1,314,798,015 34,753,827, ,270,154,936 6,549,579,765 3,483,680, ,379,120 1,388,250,675 35,169,044,819 Source: County Assessor's Office (1) Property in the County is assessed each year. Assessed values of all classes of property approximate market value except for public service property, which is determined by the State Corporation Commission. (2) Real estate assessed values include both halves of the year's assessments. Property Tax Rates (Per $100 of assessed value) Last Ten Fiscal Years (unaudited) Personal Property Special Fiscal Year Airplane Motor vehicle s clean special Motor vehicles of voluntary personnel Wild or exotic equipped motor vehicles physically Vehicle trailer and semitrailer All others Machinery Total direct tax Real estate s fuels (1) animals handicap (2) (3) and tools rate(6) 2004 $ 1.07 $ 0.50 $ 3.24 $ 0.96 $ 0.01 N/A $0.96 $3.60 $1.00 $ $ /1.04 (4)(5) /0.97 (4)(5) /0.95 (4)(5) (5) (5) (5) (5) (5) Source: Chesterfield County Accounting Department (1) Includes motor vehicles owned by members of volunteer rescue squads, volunteer fire departments, volunteer police chaplains, and auxiliary police officers. (2) Includes motor vehicles, trailers, and semi-trailers with a gross vehicle weight of 10,000 pounds or more to transport property for hire by a motor carrier engaged in interstate commerce. (3) Includes automobiles (except those mentioned above), boats, boat trailers, other motor vehicles and all tangible personal property used or held with any mining, manufacturing or other business, trade, occupation or profession, including furnishings, furniture, and appliances in rental units. (4) The real estate tax rate was different for each half of the fiscal year. (5) In 2006, the County initiated a supplemental property tax in the Powhite-Charter Colony Parkway Interchange Service District. Real property in the district is charged this supplemental tax rate of $0.15 per $100 in addition to the real estate rate. (6) The total direct tax rate for each fiscal year is per $100 of assessed valuation and is calculated on a weighted average basis with no adjustment for prorated personal property tax valuations. Page 186

195 INFORMATIONAL SECTION ENROLLMENT HISTORY, FORECAST AND METHODOLOGY ENROLLMENT HISTORY AND PROJECTIONS Actual Actual Actual Projected Projected Projected FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 ELEMENTARY ALBERTA SMITH ELEMENTARY BELLWOOD ELEMENTARY BENSLEY ELEMENTARY BEULAH ELEMENTARY BON AIR ELEMENTARY CHALKLEY, JA ELEMENTARY CLOVER HILL ELEMENTARY CRENSHAW, THELMA ELEMENTARY CRESTWOOD ELEMENTARY CURTIS, CE ELEMENTARY DAVIS, AM ELEMENTARY ECOFF ELEMENTARY ELIZABETH N. SCOTT ELEMENTARY ENON ELEMENTARY ETTRICK ELEMENTARY EVERGREEN ELEMENTARY 998 1,030 1,022 1,031 1,034 1,029 FALLING CREEK ELEMENTARY GATES, OB ELEMENTARY GORDON, WW ELEMENTARY GRANGE HALL ELEMENTARY GREENFIELD ELEMENTARY HARROWGATE ELEMENTARY HENING, JG ELEMENTARY HOPKINS ROAD ELEMENTARY JACOBS ROAD ELEMENTARY MARGUERITE F CHRISTIAN ELEMENTARY MATOACA ELEMENTARY PROVIDENCE ELEMENTARY REAMS ROAD ELEMENTARY ROBIOUS ELEMENTARY SALEM CHURCH ELEMENTARY SPRING RUN ELEMENTARY SWIFT CREEK ELEMENTARY WATKINS, JB ELEMENTARY WEAVER, BETTIE ELEMENTARY WELLS, CC ELEMENTARY WINTERPOCK ELEMENTARY WOOLRIDGE ELEMENTARY TOTAL -ELEMENTARY SCHOOL 25,963 25,788 25,977 26,203 26,195 26,228 Page 187

196 INFORMATIONAL SECTION Actual Actual Actual Projected Projected Projected FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 MIDDLE SCHOOL BAILEY BRIDGE MIDDLE 1,471 1,488 1,429 1,381 1,346 1,351 CARVER MIDDLE 1,122 1,059 1,068 1,032 1,031 1,037 ELIZABETH B. DAVIS MIDDLE 1,178 1,159 1,189 1,213 1,244 1,305 FALLING CREEK MIDDLE 1,210 1,211 1,226 1,207 1,215 1,217 MANCHESTER MIDDLE 1,445 1,469 1,431 1,485 1,473 1,474 MATOACA MIDDLE 1,100 1,122 1,072 1,041 1,005 1,044 MIDLOTHIAN MIDDLE 1,163 1,208 1,206 1,228 1,231 1,254 PROVIDENCE MIDDLE ROBIOUS MIDDLE 1,,326 1,317 1,278 1,282 1,333 1,291 SALEM CHURCH MIDDLE SWIFT CREEK MIDDLE 965 1,023 1,036 1, TOMAHAWK CREEK MIDDLE 1,215 1,267 1,294 1,340 1,375 1,447 TOTAL - MIDDLE SCHOOL 13,870 13,991 13,914 13,932 13,956 14,108 HIGH SCHOOL BIRD, LLOYD C. HIGH 1,803 1,835 1,843 1,883 1,890 1,891 CHESTERFIELD COM H CLOVER HILL HIGH 1,782 1,781 1,875 1,897 1,937 1,940 COSBY HIGH 2,033 2,063 2,025 1,974 2,025 2,034 JAMES RIVER HIGH 2,037 1,982 2,023 2,026 2,031 2,004 MANCHESTER HIGH 1,893 1,894 1,895 1,904 1,980 2,008 MATOACA HIGH 1,854 1,837 1,860 1,810 1,831 1,846 MEADOWBROOK HIGH 1,699 1,630 1,625 1,560 1,565 1,571 MIDLOTHIAN HIGH 1,403 1,406 1,424 1,446 1,512 1,537 MONACAN HIGH 1,363 1,372 1,366 1,397 1,389 1,386 THOMAS DALE HS 2,316 2,259 2,271 2,220 2,180 2,182 TOTAL - HIGH SCHOOL 18,522 18,378 18,471 18,377 18,596 18,655 APPOMATTOX GOVERNOR'S SCHOOL MAGGIE WALKER GOVERNOR'S SCHOOL GRAND TOTAL 58,707 58,511 58,717 58,867 59,102 59,345 STUDENT ENROLLMENT PROJECTION METHODOLOGY Membership projections are calculated annually and are based on the September 30 membership. Several projection models are used to calculate annual projections. The basis of the models is the Cohort Survival Model (CSM). The CSM is as an enrollment projection method which essentially compares the number of students in a particular grade to the number of students in the previous grade during the previous year. Ratios are computed for each grade progression and are then used to project future enrollments. The ratio indicates whether a change in the number of students is indicative of enrollment that is stable, increasing, or decreasing. A ratio of one indicates stable enrollment, less than one indicates declining enrollment, while greater than one indicates increasing enrollment. If, for example, a school district had 100 fourth graders and the next year only has 95 fifth graders, the CSR would be The projections are first computed districtwide by grade level using two models, the DeJong Projection Model and the K-12 Enrollment Projection Model. The DeJong Model calculates three projections, low, moderate and high. Given information that staff has on live births, housing trends, zoning cases and certificates of occupancy, a low, moderate or high projection is selected. This number is then compared to the K-12 Enrollment Projection Model to determine the best possible projection. Individual school enrollment projections are then calculated by grade level based on the K-12 Enrollment Projection Model. The final numbers are then compared to the districtwide number and adjusted based on a thorough knowledge of each school zone. In addition, the membership data is geocoded to the county s GIS (Geographic Information System, ArcMap). The student data is then analyzed by school assignment and compared to historical data to determine where growth and decline have occurred. Page 188

197 INFORMATIONAL SECTION RESOURCE ALLOCATIONS FY2011 FY2012 FY2013 FY2014 FY2015 All Funds Actual Actual Actual Adopted Adopted FULL-TIME POSITIONS FTE FTE FTE FTE FTE Superintendent Assistant Superintendent Director Supervisor Assistant Director Database Administrator Other Administrative Staff Teacher 3,, , , , ,071.6 Librarian Guidance Counselor Instructional Specialist Administrative Assistant Principal Assistant Principal Microcomputer Analyst Other Instructional Staff Nurse Psychologist Educational Diagnostician Social Worker Educational Liaison Occupational/Physical Therapist Accountant Technology Integrator Other Professional Instructional Aide Tutor/Security Monitor Printer Clinic Aide Center Based Educator Home/Family Educator Hearing Impaired Interpreter Technology Resource Assistant Secretary/Clerk Trades/Crafts/Utility Worker Bus Driver Custodian Warehouse Staff Food Service Manager Food Service Worker FULL-TIME POSITIONS 7, , , , ,461.8 Page 189

198 INFORMATIONAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 All Funds Actual Actual Actual Adopted Adopted PART-TIME POSITIONS FTE FTE FTE FTE FTE Director Teacher Librarian Guidance Counselor Psychologist Educational Diagnostician Social Worker Nurse Occupational/Physical Therapist Administrative Assistant Microcomputer Analyst Other Instructional Staff Other Professional Instructional Aide Tutor/Monitor Hearing Impaired Interpreter Technology Resource Assistant Clerical Trades/Craft Custodian Food Service Worker PART-TIME POSITIONS TOTAL ALL POSITIONS 7, , , , ,926.6 Page 190

199 INFORMATIONAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 Operating Fund Actual Actual Actual Adopted Adopted Full Time Positions FTE FTE FTE FTE FTE Superintendent Assistant Superintendents Directors Assistant Directors Supervisors Data Base Administrators Other Administrative Staff Teachers 3, , , , ,881.6 Librarians Guidance Counselors Instructional Specialists Principals Assistant Principals Administrative Assistants Other Instructional Staff Technology Integrators Other Professional Nurses Psychologists Educational Diagnosticians Educational Liaisons Occupational/Physical Therapists Social Workers System Analyst Programmer Accountants Tutor/Security Monitors Hearing Impaired Interpreters Secretary/Clerk Instructional Aides Technology Resource Assts Clinic Aides Printers Trades/Crafts/Utility Workers Bus Drivers Custodians Warehousemen Full Time Total 6, , , , ,052.8 Page 191

200 INFORMATIONAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 Operating Fund Actual Actual Actual Adopted Adopted Part Time Positions FTE FTE FTE FTE FTE Director Teachers Librarians Guidance Counselors Administrative Assistant Other Professional Nurses Psychologists Occupational/Physical Therapist Social Workers System Analyst Programmer Tutor/Security Monitors Hearing Impaired Interpreters Instructional Aides Technology Resource Assts Trades/Craft Custodians Part Time Total Total All Positions 7, , , , ,118.6 Page 192

201 INFORMATIONAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 Grants Fund Actual Actual Actual Adopted Adopted Full Time Positions FTE FTE FTE FTE FTE Supervisors Other Administrative Staff Teachers Guidance Counselors Instructional Specialists Other Instructional Staff Other Professional Psychologists Educational Liaisons Social Workers Accountants Home Family Educator Center Based Educator Secretary/Clerk Instructional Aides Bus Drivers Full Time Total Part Time Positions Teachers Guidance Counselors Other Professional Psychologists Instructional Aides Part Time Total Total All Positions Page 193

202 INFORMATIONAL SECTION FY2011 FY2012 FY2013 FY2014 FY2015 Federal Food Service Fund Actual Actual Actual Adopted Adopted FTE FTE FTE FTE FTE Full Time Positions Directors Assistant Directors Supervisors Other Professional System Analyst Programmer Accountants Secretary/Clerk Trades/Crafts/Utility Workers Food Service Manager Food Service Worker Full Time Total Part Time Positions Food Service Worker Part Time Total Total All Positions FY2011 FY2012 FY2013 FY2014 FY2015 Non-Federal Food Service Fund Actual Actual Actual Approved Approved FTE FTE FTE FTE FTE Full Time Positions Food Service Manager Food Service Worker Full Time Total Part Time Positions Food Service Worker Part Time Total Total All Positions Page 194

203 INFORMATIONAL SECTION STUDENT PERFORMANCE At-a-Glance Status of Key Measures Key Measure All Schools Met Federal Annual Measurable Objectives (FAMO) All Schools Fully Accredited by Virginia Board of Education Self-Directed Learners with 21st Century Skills Proficient/ Advanced Targets Current Status /100 77% 80% 100/100 95% 100% 100% 100% 97% 100% 92% Virginia On-Time Graduation and Completion Rate 86% 88% 90% 90% 92% 93% Middle School Students Enrolled in a High School Credit-Bearing World Language Course 29% 28% Middle School Students Enrolled in World Language or Related Elective Course 36% 35% Earned Course Middle School Students Earning Credit 90% 90% Both Course and Verified Credits Passed SOL in Algebra I by Completion of 8th Test 77% 82% Grade Earned Both Credits 70/85 38% 51% 84% 83% 80% 73% 73% Graduates who Earned at Least One Credit in an AP, IB or DE Course 50/70 43% 44% 51% 46% 50% 50% 54% Students Taking an AP Exam Earn a Score of Three or Better 65/75 51% 49% 49% 58% 57% 60% 63% Seniors Enrolled in a Mathematics Course at or Above Algebra II 75/85 61% 63% 63% 61% 65% 66% 62% Graduates Earning Advanced or IB Diploma 65/75 61% 62% 63% 66% 59% 55% 61% Students Passing SOL Tests in Advanced Range CCPS 40/50 35% 37% 37% 37% 35% 27% 19% Virginia N/A N/A 35% 36% 37% 33% 26% 19% Students Taking and Passing an Online Course 30/40 17% 17% 18% 15% 12% 13% 15% Closing Gaps Students Reading on Grade Level (SOL Grades 3-8 & End of Course) Students Mastering Mathematics on Grade Level (SOL Grades 3-8 & End of Course) Students Mastering Writing on Grade Level (SOL Grades 5, 8 & End of Course) Safe and Supportive Learning Environments 70/93 90% 90% 92% 91% 91% 92% 79% 70/91 83% 87% 88% 90% 88% 74% 75% 70/91 89% 89% 90% 89% 90% 91% 78% Students with No Suspensions or Expulsions 85/90 81% 85% 86% 94% 94% 94% 94% Attendance: Elementary School Students 95/96 97% 97% 97% 96% 96% 97% 96% Attendance: Middle School Students 95/96 96% 96% 96% 96% 96% 96% 96% Attendance: High School Students 95/96 95% 95% 95% 94% 95% 95% 95% Knowledgeable and Competent Workforce Percentage of Minority Teachers 15/20 12% 13% 13% 13% 13% 13%* 17% Page 195

204 INFORMATIONAL SECTION Student Demographics Fall 2004 Other, 1% Asian, 3% Black, 26% White, 65% Hispanic, 5% Student Demographics Fall 2012 Other, 1% Two or More, 4% Asian, 3% Black, 26% White, 55% Hispanic, 11% Page 196

205 INFORMATIONAL SECTION Percentage of Schools Fully Accredited Accreditation Year (Based on Data from the Prior Year) On-Time Graduation Rates Limited English Proficient Economically Disadvantaged Students with Disabilities White Hispanic Black All Percentage Page 197

206 INFORMATIONAL SECTION Grade-to-Grade Reading SOL 2013 Grade Grade Grade Grade 6 Grade CCPS Virginia Grade End of Course Percentage Passing Grade-to-Grade Writing SOL 2013 Grade Grade CCPS Virginia End of Course Percentage Passing Page 198

207 INFORMATIONAL SECTION Grade-to-Grade History SOL 2013 Grade 3 Virginia Studies US History US History 2 Civics and Economics World History 1 World History 2 Virginia/US CCPS Virginia Percentage Passing Grade 3 Grade-to-Grade Science SOL Grade Grade Earth Science CCPS Virginia Biology Chemistry Percentage Passing Page 199

208 INFORMATIONAL SECTION 80 Percent Advanced Placement Scores of 3 or Better All Black Hispani c Percent Graduates Earning AP, IB, or DE Credits Page 200

209 INFORMATIONAL SECTION % Free & Reduced Lunch 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 32.7% 33.2% 34.5% 30.0% 28.3% 28.4% 5.0% 4.5% 5.2% FY2011 FY2012 FY2013 Elementary Middle High Page 201